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Dailey Company issued $613,500, 10%, 15-year bonds on December 31, 2013, for $588,960. Interest is payable annually on December 31. Dailey uses the straight-line method to amortize bond premium or discount. Prepare the journal entries to record the following events. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
(a) The issuance of the bonds.
(b) The payment of interest and the discount amortization on December 31, 2014.
(c) The redemption of the bonds at maturity, assuming interest for the last interest period has been paid and recorded. No. Date Account Titles and Explanation Debit Credit .
Journalize the transactions. (Hint: You may wish to set up T accounts, post beginning balances, and then post 2013 transactions.) Rivera uses straight-line depreciation for buildings and equipment.
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