Amorouso Co. produces and distributes semiconductors for use by computer manufacturers. Amoruso Co. issued $7,500,000 of 15- year, 10$ bonds on April 1 of the current year at face value, with interest payable on April 1 and October 1. The fiscal year of the company is the calendar year.
Apr. 1. Issued the bonds for cash at their face amount.
Oct. 1. Paid the interst on the bonds.
Dec. 31. Recorded accrued interest for three months.
Journalize the entries to record the above selected transactions for the current year.
Apr. 1 Cash: 7,5000,000
Bonds Payable: 7,500,000
Oct. 1 Interst Expenses:
Cash:
Dec 31 Interest Expense:
Cash: