On May 1, 2017, Herron Corp. issued $615,000, 9%, 5-year bonds at face value. The bonds were dated May 1, 2017, and pay interest annually on May 1. Financial statements are prepared annually on December 31.
Prepare the adjusting entry to record the accrual of interest on December 31, 2017
Show the balance sheet presentation on December 31, 2017
Accounts Payable
Accounts Receivable
Accumulated Depreciation-Equipment
Bonds Payable
Cash
Common Stock
Cost of Goods Sold
Depreciation Expense
Discount on Bonds Payable
Equipment
Federal Income Taxes Payable
Federal Uemployment Taxes Payable
FICA Taxes Payable
Gain on Bond Redemption
Income Tax Expense
Income Tax Payable
Insurance Expense
Interest Expense
Interest Payable
Inventory
Lease Liability
Loss on Bond Redemption
Mortgage Payable
Notes Payable
Notes Receivable
Other Operating Expenses
Paid-in Capital in Excess of Par-Common Stock
Payroll Tax Expense
Preferred Stock
Premium on Bonds Payable
Prepaid Insurance
Retained Earnings
Salaries and Wages Expense
Salaries and Wages Payable
Sales Revenue
Sales Taxes Payable
Service Revenue
State Income Taxes Payable
State Unemployment Taxes Payable
Subscription Revenue
Ticket Revenue
Unearned Service Revenue
Unearned Subscription Revenue
Unearned Ticket Revenue