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Bold Accountants Co. sells $6,000,000 of 10-year, 6% bonds priced to yield 5.5%. The bonds are dated and issued on January 1, 2020. Interest is payable on January 1 and July 1 each year. Bold's year-end is June 30. Required:
Problem 1: Prepare entries for
a. The issuance of the bonds.b. Accrual of interest and related amortization on June 30, 2020.c. Payment of interest on July 1,2020.d. Payment of interest and related amortization on January 1,2021.
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