Bridgeport Co. sells $425,000 of 12% bonds on June 1, 2020. The bonds pay interest on December 1 and June 1. The due date of the bonds is June 1, 2024. The bonds yield 8%. On October 1, 2021, Bridgeport buys back $136,000 worth of bonds for $142,000 (includes accrued interest). Give entries through December 1, 2022. Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates and at year-end.
date cash paid interest expense premium amortized carrying amount of bonds
6/1/20
12/1/20
6/1/21
12/1/21
6/1/22
12/1/22
6/1/23
12/1/23
6/1/24
Prepare all of the relevant journal entries from the time of sale until December 31, 2022.
6/1/20
cash
premium on bonds payable
bonds payable
12/1/20
interest expense
premium on bonds payable
interest payable
12/31/20
interest expense
premium on bonds payable
interest payable
6/1/21
interest expense
interest payable
premium on bonds payable
cash
10/1/21
bonds payable
premium on bonds payable
gain on redemption of bonds
cash
12/1/21
interest expense
premium on bonds payable
cash
12/31/21
interest expense
premium on bonds payable
interest payable
6/1/22
interest expense
interest payable
premium on bonds payable
cash
12/1/22
interest expense
premium on bonds payable
cash

Cooper sues company a in state court in south carolina, where he lives, for negligence alleging personal injury and property damage of $100,000 after a truck driven by an employee of company a rear-ended his pickup truck. company a is incorporated in delaware, has its headquarters in new york, but does a substantial amount of business in south carolina. claiming diversity of citizenship, company a seeks removal to federal district court, but cooper opposes the motion. which of the following is true regarding whether the case may be properly removed to federal district court? the amount in controversy satisfies diversity requirements; and if company a's nerve center is in a state other than south carolina, then the case may be properly removed to federal court.the amount in controversy satisfies diversity requirements; and because company a is incorporated and has its headquarters in a state other than south carolina, the case may be properly removed to federal court.because the amount in controversy satisfies diversity requirements and company a is incorporated in a state other than south carolina, the case may be properly removed to federal court regardless of where company a's headquarters, nerve center, or principal place of business is located.because the amount in controversy satisfies diversity requirements and company a is headquartered in a state other than south carolina, the case may be properly removed to federal court regardless of where company a is incorporated and regardless of the location of its nerve center.because the amount in controversy fails to satisfy jurisdictional requirements, regardless of the location of company a, the case may not be removed to federal court.