Question Details

Prepare the journal entry to record the retirement of the bonds 



Ex. 1
Carpino Company issued €500,000 of bonds on January 1, 2011.

Instructions
(a)	Prepare the journal entry to record the retirement of the bonds at maturity, assuming the bonds were issued at 100.
(b)	Prepare the journal entry to record the retirement of the bonds before maturity at 98. Assume the carrying value of the bonds was $505,000.

Ex. 2
Wood Company retired $500,000 face value, 9% bonds on June 30, 2011 at 98. The carrying value of the bonds at the redemption date was $508,000.

Instructions
Prepare the journal entry to record the redemption of the bonds.



Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help