Question - Prepare journal entries to record the following retirement. (show computations and round to the nearest dollar)
The December 31, 2018 balance sheet of Wolfe Co. included the following items:
7.5% bonds payable due December 31, 2026 $3,000,000
Unamortized discount on bonds payable $120,000
The bonds were issued on December 31, 2016 at 95, with interest payable on June 30 and December 31. (Use straight-line amortization.)
On April 1, 2019, Wolfe retired $600,000 of these bonds at 101 plus accrued interest.