McDonald Sales Prepared a Bond Issue of $20,000 Dated January $$\begin{array} { | l | l | l | } \hline \quad\quad& \quad&\quad \\\hline & & \\\hline & & \\\hline\end{array}$$

question 89

Essay

McDonald Sales prepared a bond issue of $20,000 dated January 1,2013.The bonds have a stated rate of 3% and a term of 6 years.The bond issue was delayed,and the bonds were finally sold on March 1,2013 at par.On June 30,2013,the first semiannual interest payment is made.Please provide the journal entry for that payment transaction.
$$\begin{array} { | l | l | l | } \hline \quad\quad& \quad&\quad \\\hline & & \\\hline & & \\\hline\end{array}$$

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Definitions:

Peter Principle

A term coined by author Lawrence J. Peter describing the tendency to promote individuals to their levels of incompetence. The overpromotion syndrome harms the individual and the organization because it inevitably results in lowered morale and job performance.

Organizations

Groups of people who come together to pursue common goals, typically structured and managed through established processes and hierarchies.

Level of Incompetence

a concept from the Peter Principle stating that employees tend to be promoted until they reach a position at which they are no longer competent.

Developing People

The process of enhancing an individual's skills, knowledge, and competencies through education, training, and mentorship.