On January 1, the first day of the fiscal year, a company issues a $7,500,000, 8%, five-year bond that pays semiannual interest of $300,000 ($7,500,000 x 8% x ½), receiving cash of $7,811,873. Journalize the first interest payment and the amortization of the related bond premium. Round to the nearest dollar. Refer to the Chart of Accounts for exact wording of account titles.

Answer and Explanation:

The journal entries are shown below:

1. Cash  Dr  $7,811,873  

  To Bonds payable    $7,500,000

  To Premium on bonds Payable  $311,873  

(Being the bond payable is recorded)

For recording this we debited the cash as it increased the assets and credited the bond payable & premium as it also increased the liabilities

2. Interest expenses $268,812.7  

Premium on Bonds payable  $31,187.3   ($311,873 ÷ 10 years)

   To Cash  $300,000

(being cash paid is recorded)

For recording this we debited the interest expense and premium as it increased the expenses and credited the cash as it decreased the assets

there was no passage listed but using the process of elimination i'd say it was d. the high economy would do the opposite. i don't see how low prices would affect it. high unemployment is possible but i feel d is the better answer.

the first successful, urban blues recording, selling more than 75,000 copies, was made in year 1920.

mamie smith recorded the first commercially successful example of the urban blues,   with the recording of “crazy blues”."crazy blues" was recorded on august 10, 1920, in new york city. within a month of the release of “crazy blues” it had sold 75,000 copies.