Question

JOURNALIZING

?Adjusting entry for interest at year end

?Bond issue

?Dividends declared

?Record employee’s pay

?Reissue - Treasury stock sale to public

?Retirement of bond

?Sales Tax?

?Stock issue (IPO)

Answer 1

Answer:   Journal entries

Adjusting entry for interest at the year end:

Interest expense Dr. xxx

Interest payable Cr. xxx

Bond issue:

Cash Dr. xxx

Discount on bonds payable (if any) Dr. xxx

Bonds payable Cr. xxx

Premium on bonds payable(if any) Cr. xxx

Dividends declared:

Retained retained Dr. xxx

Dividends payable Cr. xxx

Employee's pay:

Wages Dr. xxx

Cash Cr. xxx

Treasury stock sale to public:

Cash Dr. xxx

Paid-in capital from treasury stock Dr./Cr. (Loss/gain as the case may be) xxx

Treasury stock Cr. xxx

Retirement of bond:

Bonds payable Dr. xxx

Gain/loss on retirement Cr./Dr. xxx

Cash Cr. xxx

sales tax :

Sales tax Dr. xxx

Cash Cr. xxx

Stock issue:

Cash Dr. xxx

Common stock/preferred stock Cr. xxx