Rickey Company borrowed money by issuing $1,500,000 of 6% bonds payable at 101.3 on July 1, 2018. The bonds are five-year bonds and pay interest each January 1 and July 1. Read the requirements 1. How much cash did Rickey receive when it issued the bonds payable? Journalize this transaction. Rickey received $ when the bonds payable were issued. Journalize the issuance of the bonds payable. (Record debits first, then credits. Exclude explanations from any journal entries.) Date Jul Journal Entry Accounts Debit Credit 2. How much must Rickey pay back at maturity? When is the maturity date? Requirements 1. How much cash did Rickey receive when it issued the bonds payable? Journalize this transaction. 2. How much must Rickey pay back at maturity? When is the maturity date? 3. How much cash interest will Rickey pay each six months? - X
Rickey Company borrowed money by issuing $1,500,000 of 6% bonds payable at 101.3 on July 1, 2018. The bonds are five-year bonds and pay interest each January 1 and July 1. Read the requirements 1. How much cash did Rickey receive when it issued the bonds payable? Journalize this transaction. Rickey received $ when the bonds payable were issued. Journalize the issuance of the bonds payable. (Record debits first, then credits. Exclude explanations from any journal entries.) Date Jul Journal Entry Accounts Debit Credit 2. How much must Rickey pay back at maturity? When is the maturity date? Requirements 1. How much cash did Rickey receive when it issued the bonds payable? Journalize this transaction. 2. How much must Rickey pay back at maturity? When is the maturity date? 3. How much cash interest will Rickey pay each six months? - X
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 5PB: Dixon Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1,...
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