User Account

All Pages

Eastern post called half the bonds at the call price

Assignment Help Accounting Basics
Reference no: EM131006815

The long-term liability section of Eastern Post Corporation's balance sheet as of December 31, 2010, included 10% bonds having a face amount of $40 million and a remaining premium of $6 million. On January 1, 2011, Eastern Post retired some of the bonds before their scheduled maturity.

Required:

Prepare the journal entry by Eastern Post to record the redemption of the bonds under each of the independent circumstances below:

1. Eastern Post called half the bonds at the call price of 102 (102% of face amount).

2. Eastern Post repurchased $10 million of the bonds on the open market at their market price of $10.5 million. 

Reference no: EM131006815

Questions Cloud

How do firms manage to mislead investors : In part, many corporate scandals center on misleading or inaccurate financial statements. Also, the financial crisis in 2007-08 period included corporate failures in the financial sector and enormous losses for investors. How do firms manage to mi..
Prepare the journal entry by twin digital to record : Prepare the journal entry by Twin Digital to record the redemption of the bonds on July 1, 2011.
Problem regarding the technical training clerk : A woman working as a waitress met a man who helped her get a job as a technical training clerk. Two weeks after she started on the job, the man requested an off-site meeting with her.
How would they evaluate their fundraising program : What current issues is their organization facing at the present time? How would they evaluate their fundraising program? Do they need more funds?
Eastern post called half the bonds at the call price : Eastern Post repurchased $10 million of the bonds on the open market at their market price of $10.5 million.
Prepare the necessary closing entries : Prepare the necessary closing entries - Use T-accounts to determine the post-closing balances of the accounts.
American insulation exercised its call privilege and retired : American Insulation exercised its call privilege and retired the bonds for $790,000. The corporation uses the straight-line method both to determine interest and to amortize debt issue costs.American Insulation exercised its call privilege and retire..
Is there a way that the decision-making process : Find a contemporary article showing how the theory of psychological egoism in a corporation resulted in an ethical dilemma. Is there a way that the decision-making process within a large corporation can overcome this fact of human selfishness?
Gives the equation of the tangent plane to the surface : Find the equation of the tangent plane to the surface at the point (3, -1, 15). Using the differentials (or linear approximation) evaluate the approximate value of z on the surface when x = 3.01 and y = -1.01.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Where would the capital lease be reported in the government

Assume a government leases equipment to be used in governmental activities under a noncancelable lease, meeting the requirements for classification as a capital lease. Where would the capital lease be reported in the government's financial stateme..

  What is the marginal cost of fixing the transmission

What is the marginal benefit of fixing the transmission if the Blue book value for the car is $6000 if the transmission works, $5500 if it doesn't?

  Shaun amp kayla earned the following in 2013 interest on a

1. your brother is short on cash and cannot pay his rent this month. you pay his rent for him. is this taxable income

  The company produced 35410 units in august and the

bumpass corporations contribution margin ratio is 79 and its fixed monthly expenses are 48000. assume that the

  Since the primary rationale for any operating merger is

q1 if a petrochemical firm that used oil as feedstock merged with an oil producer that had large oil reserves and a

  Accounts of brian kelly

Based on the Conceptual Framework, decide whether and when revenue exists and the appropriate time for this revenue to be recognised in the accounts of Brian Kelly, GoldProspector.

  Materials and labor are the only variable costs the company

rarons rockers is in the process of preparing a production cost budget for august. actual costs in july for 120 rocking

  A project will require an initial investment of 750000 and

a project will require an initial investment of 750000 and will return 200000 each year for five years. if taxes are

  Appraise the project using npv approach

Pine & Oak have spent €20,000 researching the prospects for a new range of products. If it were decided that production is to go ahead an investment of €240,000 in capital equipment will be required. The accounts department has produced budget..

  The cardinal company had a finished goods inventory of

the cardinal company had a finished goods inventory of 55000 units on january 1. its projected sales for the next four

  Theoretical basis for the accounting standard

What is the theoretical basis for the accounting standard that requires certain long-term leases to be capitalized by the lessee? Do not discuss the specific criteria for classifying a specific lease as a capital lease.???

  The local ymca is looking to purchase a local business that

the local ymca is looking to purchase a local business that relates to other lines of business they currently have so

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd