Reference no: EM133234137

Problem 1

To finance infrastructure development, on January 1, 2020, PT Molina issued and sold 1,000 bonds with a nominal value of Rp. 1,000,000 per share, with a validity period of 5 years. The company pays 10% annual interest. At the time of issuance, the prevailing market interest at that time was 10%.

Question:

1. Make an amortization schedule for 5 years

2. Journalize the receipt of cash and acknowledgment of bonds payable from the sale of the bonds

3. Journalize the amortization and annual interest payments for 5 years.

Problem 2

To finance infrastructure development, on January 1, 2020, PT Molina issued and sold 500 bonds with a nominal value of Rp. 5,000,000 per share, with a validity period of 5 years. The company pays 12% annual interest. At the time of issuance, the prevailing market interest at that time was 14%

Question:

1. Make an amortization schedule for 5 years

2. Journalize the receipt of cash and acknowledgment of bonds payable from the sale of the bonds

3. Journalize the amortization and annual interest payments for 5 years.

Problem 3

To finance infrastructure development, on January 1, 2020, PT Molina issued and sold 800 bonds with a nominal value of Rp. 3,000,000 per share, with a validity period of 5 years. The company pays 10% annual interest. At the time of issue, the prevailing market interest at that time was 8%