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Business, 27.11.2019 01:31 noahdeem135

On january 1, 2019, electro inc. issued $740,000 of 7.5%, four-year bonds that pay interest semiannually on june 30 and december 31. they are issued at $680,186 and their market rate is 10% at the issue date. after recording the entry for the issuance of the bonds, bonds payable had a balance of $740,000 and discount on bonds payable had a balance of $59,814. electro uses the effective interest bond amortization method. the first semiannual interest payment was made on june 30, 2019.

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On january 1, 2019, electro inc. issued $740,000 of 7.5%, four-year bonds that pay interest semiannu...
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