AB 116 WEEK 5 PROBLEM 15-1A

AB 116 WEEK 5Problem 15 1A
On May 1 2014 Herron Corp. issued 457200 6 5year bonds at face value. The bonds were dated May 1, 2014, and pay interest semiannually on May 1 and November 1. Financial statements are prepared annually on December 31.
Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Date	Account Titles and Explanation	Debit	Credit
Prepare the adjusting entry to record the accrual of interest on December 31, 2014. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Dec. 31, 2014

Interest Payable
Show the balance sheet presentation on December 31, 2014. (For Bonds Payable, Notes Payable and Mortgage payable enter the account name only and do not provide any additional descriptive information e.g. due 2017
Prepare the journal entry to record payment of interest on May 1, 2015, assuming no accrual of interest from January 1, 2015, to May 1, 2015. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Nov. 1, 2015

Cash
= 
($457,200 × 6% × 1/12)
Assume that on November 1, 2015, Herron calls the bonds at 101. Record the redemption of the bonds. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)