Westover Corporation had $500,000, 10-year bonds outstanding on December 31, 2014 (end of the accounting period). Interest is payable each December 31. The bonds were issued on January 1, 2014.The company uses the straight-line method to amortize any premium or discount. The December 31, 2014, annual financial statements showed the following:Income statementBond interest expense $ 23,100Balance sheetBonds payable (net liability) 481,100Required (show computations):1. What was the issue price of the bonds? Give the journal entry to record the issuance of the bonds.2. Give the entry to record 2014 interest.View Solution:
Westover Corporation had 500 000 10 year bonds outstanding on December 31

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