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Question - Saberhagen Company sold $3,700,000, 10%, 10-year bonds on January 1, 2017. The bonds were dated January 1, 2017 and pay interest annually on January 1. Saberhagen Company uses the straight-line method to amortize bond premium or discount.
Prepare all the necessary journal entries to record the issuance of the bonds and bond interest expense for 2017, assuming that the bonds sold at 105.
Prepare all the necessary journal entries to record the issuance of the bonds and bond interest expense for 2017, assuming that the bonds are sold at 95.
Show balance sheet presentation for the bonds at December 31, 2017.
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