Excalibur Incorporated issued $130,000 of 6%, seven-year bonds on January 1, 2012. The bonds pay
interest semiannually on June 30 and December 31. They were issued at par value. Prepare the
journal entry the Corporation will record on their books if they repurchase the bonds on January 1,
2014, at 104%.
| Date | Description | Debit | Credit |
|---|---|---|---|
| 01/01 | |||
| 01/01 | |||
| 01/01 | |||
| 01/01 | to record the repurchase of bonds. | ||