81) On April 1, 2015, Eiche Company issues $2,500,000 of 6%, 5-year bonds, with interest payments made each October 1 and April 1. The bonds are issued at 98. Eiche Company amortizes any premium or discount using the straight-line method.
Required:
Prepare journal entries on the following dates:
1.April 1, 2015.
2.October 1, 2015.
3.December 31, 2015, the fiscal year end.
Omit explanations.
82) On January 1, 2015, Las Vegas Company issued 8%, 20-year bonds with a face amount of $3,000,000 at 101. Interest is payable semiannually on June 30 and December 31. Las Vegas Company uses the straight-line method to amortize bond premium or discount. The company's fiscal year ends December 31.
Required:
Prepare the journal entries to record the issuance of the bonds and the first semiannual interest payment. Omit explanations.