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on January 1st, 2013, hi and Lois company purchased13% bonds, having a maturity value of $509,600 for , $547,268.10.The bonds provide the bondholders with a 11% yield. They are datedJanuary 1st, 2013, and mature January 1st, 2018, with interestreceivable December 31st of each year. hi and Lois company uses theeffective interest method to allocate unamortized discount orpremium. The bonds are classified as available-for-sale category.The fair value of the bonds at December 31st of each year are asfollows. 2013 $543,398 2014 $516,100 2015 $513,400 2016 $518,9002017 $509,600. now a. Prepare the journal entry at the date of thebond-purchase a has two entries B. Prepare the journal entries torecord the interest received on December 31st 2013 this has threeentries next record the recognition of fair value for 2013 this hastwo entries. C. Prepare the journal entry to record the recognitionof fair value for 2014 this has two entries

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Jean Keeling
Jean KeelingLv2
28 Sep 2019

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