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journal entries and balance sheet presentation of the bonds at December 31, 2003.

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Stover Company issues $400,000 of 10%, 10-year bonds on January 1, 2003 at 102. Interest is payable semiannually on July 1 and January 1. The issue was correctly recorded. The company uses the straight-line method of amortization.

Instructions
(a) Journalize the entries for bond interest on (1) July 1, 2003 and (2) December 31, 2003.
(b) Show the balance sheet presentation of the bonds at December 31, 2003.

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The expert examines journal entries and balance sheet presentation of the bonds.

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