How to find the present value of principal

Assignment Help Accounting Basics
Reference no: EM132610314

Question - Bond Issue

On January 1, Canglon, Inc., issues 10%, 5-year bonds with a face value of $150,000 when the effective rate is 12%. Interest is to be paid semiannually.

Prepare calculations to prove that the selling price of the bonds is $138,959.90. Click here to access the tables to use with this exercise. Round your answers to two decimal places, if necessary.

How to find the Present value of principal, Present value of interest and Selling price?

Reference no: EM132610314

Questions Cloud

Diversity in a terrestrial and in an aquatic habitat : Define the role that disturbance plays in maintaining species diversity in a terrestrial and in an aquatic habitat.
Prepare the journal entry on the books of the partnership : Instructions - Prepare the journal entry on the books of the partnership to record the withdrawal of Madden from the partnership
Describe how humanist thought led to scientific : Describe how humanist thought led to scientific and artistic innovations during the Renaissance. What were the lasting effects on later societies?
Acceptable type of therapy for genetic disorders : Do you think gene therapy is or is not an acceptable type of therapy for genetic disorders?
How to find the present value of principal : On January 1, Canglon, Inc., issues 10%, 5-year bonds with a face value of $150,000 when the effective rate is 12%. How to find the Present value of principal
Show a depreciation schedule for six years : The new machines cost $252,000 including installation. Show a depreciation schedule for six years using the double-declining-balance method
Evaluate direct manipulation and describe three problems : Describe three interfaces you interact with on a daily basis and Analyze each interface you identified in Question one and assess how it adheres to Mandel's
What was fixed overhead budget variance for jaune company : What was fixed overhead budget variance for Jaune Company.Jaune Company uses a standard cost system that applies manufacturing overhead
What is the company pre-tax cost of debt : The face amount of the bond is $1,000. This bond is currently selling for 96 percent of its face value. What is the company's pre-tax cost of debt

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much is the accumulated depreciation

Using this information, how much is: The accumulated depreciation after the fiscal year 2020 adjusting entry. The 2020 depreciation expense

  Prepare the financial statement for sita ltd

Income tax of £40,000 is to be provided for the year. Prepare the following financial statement for Sita Ltd in accordance with IAS 1

  Module 9 assignment the following information was available

module 9 assignment the following information was available for hamilton industries for the year 20xx inventories 1-jan

  Amount of outstanding checks

Fitzgerald Company wrote checks totalling $17,080 during October and $18,650 during November. What was the amount of outstanding checks on November 30?

  What gross income will pat recognize in 2014

a) What gross income will Pat recognize in 2014 and each year thereafter?

  Determine the cost recovery for year

Charlie purchased an apartment building on November 16, Year 1, for $1,000,000. Determine the cost recovery for Year 20

  What are the financial techniques used to evaluate capital

what are the financial techniques used to evaluate capital projects in an organization? with respect to the

  The company used the cost recovery method

In 2010, the Huxley Company, a real estate company, purchased some raw land for $60,000 and resold it on credit for $90,000.

  Discuss what is the amount of cash received from customers

What is the amount of cash received from customers if Holly's sales were $50.2 million

  What is the total ordinary income of the partnership

Dividends from foreign corporations 6,000. Tax-exempt interest income 8,000. What is the total ordinary income of the partnership for 2010

  Determine the fair value of identifiable net assets

Dennis Company purchases Miles Company for $5,000,000 cash on January 1, 2018. Determine the fair value of identifiable net assets used to record goodwill

  Prepare journal entries to record the given month billings

A hospital arranges with a third-party payer to charge the third party 75 percent of its established billing rates. During January 2012, the hospital.

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!

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