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Check my work The long-term liability section of Twin Digital Corporation's balance sheet as of December...

Check my work The long-term liability section of Twin Digital Corporations balance sheet as of December 31, 2020, included 1Check my work The long-term liability section of Twin Digital Corporations balance sheet as of December 31, 2020, included 1

Check my work The long-term liability section of Twin Digital Corporation's balance sheet as of December 31, 2020, included 12% bonds having a face amount of $50 million and a remaining discount of $1 million. Disclosure notes indicate the bonds were issued to yield 14%. Interest expense is recorded at the effective interest rate and paid on January 1 and July 1 of each year. On July 1, 2021, Twin Digital retired the bonds at 102 ($51.0 million) before their scheduled maturity. Required: 1. & 2. Prepare the necessary journal entries by Twin Digital on July 1, 2021. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.) View transaction list Journal entry worksheet 1 2 > Record the semiannual interest. Note: Enter debits before credits. Date General Journal Debit Credit July 01, 2021
Check my work The long-term liability section of Twin Digital Corporation's balance sheet as of December 31, 2020, included 12% bonds having a face amount of $50 million and a remaining discount of $1 million. Disclosure notes indicate the bonds were issued to yield 14%. Interest expense is recorded at the effective interest rate and paid on January 1 and July 1 of each year. On July 1, 2021, Twin Digital retired the bonds at 102 ($51.0 million) before their scheduled maturity. Required: 1. & 2. Prepare the necessary journal entries by Twin Digital on July 1, 2021. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars.) View transaction list Journal entry worksheet < 1 2 > Record the redemption of the bonds. Note: Enter debits before credits Date General Journal Debit Credit July 01, 2021
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Answer #1

Journal entry in books of Twin digital

Date General Journal Debit $ Credit $
July 1,2021 Interest expenses 3430000
Discount on bond payables 430000
Cash 3000000
($49000000 X 14% X 6/12)=$3430000
($50000000 X 12% X 6/12)=$3000000
To record payment of interest
July 1,2021 Bond payable 50000000
Loss on redemption of bond payables 1570000
Discount on bond payables(unamortized)($1000000 -$430000) 570000
Cash($50000000 X 102℅) 51000000
To record redemption of bond
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