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Using the Information Below, Write the Journal Entry to Record

question 61

Essay

Using the information below, write the journal entry to record the payment of the bond on the maturity date.
A $400,000 issue of bonds that sold for $363,000 matures on August 1, 2015.


Definitions:

Organizational Objectives

The specific, measurable goals set by a business or organization to guide operations and strategic planning.

Planning

The process of setting objectives, determining strategies to achieve those objectives, and developing plans to integrate and coordinate activities.

Conversion Costs

The combined total of direct labor and manufacturing overhead costs that are incurred to convert raw materials into finished products.

Period Costs

Expenses that are not directly tied to the production process and are expensed in the accounting period in which they are incurred, such as salaries and utilities.

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