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Question: golden inc issues 4000000 5year 10 bonds at 102 with...

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Golden Inc. issues $4,000,000, 5-year, 10% bonds at 102, with interest payable annually on January 1 . The straight-line method is used to amortize bond premium Your answer is partially correct. Try again Prepare the journal entry to record the sale of these bonds on January 1, 2020. (Credit account titles are automatically indented when amount is entered. D not indent manually.) Date Account Titles and Explanation Jan. 1 Cash Debit Credit 38000000 Discount on Bonds Payable 2000000 Bonds Payable 4000000 Your answer is partially correct. Try again Prepare the adjusting journal entry to record interest expense and bond premium amortization on December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Dec. 31 Interest Expense Debit Credit 4200000 Discount on Bonds Payable 200000 Cash 400000

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