Journal entries for five years

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Question - Landis Co. purchased P1,000,000 of 8%, 5-year bonds from Ritter, Inc. on January 1, 2012, with interest payable on July 1 and January 1. The bonds sold for P1,041,580 at an effective interest rate of 7%. Using the effective-interest method, record all necessary journal entries. Journal entries for five years.

Reference no: EM132980006

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