HCS 380 Seek Your Dream /uophelp.com HCS 380 Seek Your Dream /uophelp.com | Page 24

and balance sheet presentation
Holmes Corporation sold $ 2,200,000 , 8 %, 5-year bonds on January 1 , 2014 . The bonds were dated January 1 , 2014 , and pay interest
on January 1 . Holmes Corporation uses the straight-line method to amortize bond premiums or discounts .
Instructions
( a ) Prepare all necessary journal entries to record the issuance of the bonds and bond interest expense for 2014 , assuming the bond sold at 102 .
( b ) Prepare journal entries as in part ( a ) assuming g the bonds sold at 98 .
( c ) Show the balance sheet presentation for the bond issue at December 31 , 2014 , using ( 1 ) the 102 selling price , and
price then ( 2 ) the 98 selling
NOTE : Enter a number in cells requesting a value ; enter either a number or a formula in cells with a "?" .