Effective interest method for discount-premium amortization

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Reference no: EM131289267

Sanford sells $500,000 of 10% bonds on March 1, 2010. The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2013. The bonds yields 12%.

Prepare all relevant journal entries through December 31, 2011 under both IFRS and US GAAP. Use effective interest method for discount and premium amortization (construct an amortization table where applicable).

Reference no: EM131289267

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