Chapters 10-13 and Appendix H

Journal entry for issuing bonds at a discount

Debit cash and discount on bonds payable, credit bonds payable

Balance sheet presentation of discount on bonds payable

Long term liabilities

__ Bonds payable $100,000

__ Discount on bonds payable $2000 $98,00

Total cost of borrowing —- bonds issued at a discount

Journal entry for issuing bonds at a premium

Debit cash, credit bonds payable and premium of bonds payable

Balance sheet presentation of bond premium

Long term liabilities

__Bonds payable $100,000

__ Add: Premium on bonds payable $2000 $102,000

Journal entry for recording issuance of a note

Debit cash, credit notes payable (at face value amount)

Journal entry for making adjusting entry for accrual

Debit interest expense, credit interest payable (to accrue interest for certain amount of time)

Journal entry at maturity of the note

Debit notes payable and interest payable, credit cash (np + ip)

Journal entry for sales tax payable

Debit cash, credit sales revenue and sales taxes payable

Journal entry to record mortgage loan

Debit cash, credit mortgage payable

Journal entry to record mortgage installment payments

Debit interest expense and mortgage payable, credit cash