Not sure on how to calculate and record on feb 282012 ace, Ask an Expert

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Not sure on how to calculate and record. On Feb. 28,2012 Ace Company sold 8,000,000, 9%, 10yr bonds to purchase a new production machine. Bonds of similar risk and length have a current market rate of 8%. Can you answer the following questions & show how you got it please. Thanks so much for your help 1.Record the journal entry to sell the bonds and purchase the equipment 2.Record the first semi-annual interest payment. 3.Show how the bond would appear on the Dec 31, 2011 B.S.

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Accounting Basics, Accounting

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