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Question - Canadian Sea Rides Ltd. issues $8,000,000 of four-year, 4% bonds dated January 1,2015. Interest is payable on January 1 and July 1 each year. The proceeds realized from the issue were the $8,529,082 sales price less the $50,000 fee charged by Sea's lawyers. Sea's year-end is December 31.
Required - Prepare entries for
a. The issuance of the bonds.
b. Payment of interest and related amortization on July 1, 2015.
c. Accrual of interest and related amortization on December 31, 2015.
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