Prepare entries to account for the transactions

Assignment Help Accounting Basics
Reference no: EM131795827

Both the reported value of long-term debt and periodic interest charges should be based on unamortized issue price (plus or minus unamortized premiums or discounts) and initial yield.

The City of Fairfield issued $100 million of 20-year, 6 percent coupon bonds (3 percent per semiannual period) for $89.32 million. The price reflected a yield of 7 percent (3.5 percent period semiannual period).

1. Prepare entries to reflect how the following would be reported in the city's government-wide statements:

a. The issuance of the bond

b. The first semiannual payment of interest

c. The second semiannual payment of interest

2. Prepare entries to account for the same transactions in an appropriate governmental fund.

Reference no: EM131795827

Questions Cloud

Parallel wires are separated by a distance : The force per unit length that each wire exerts on the other is 3.20×10-5 N/m, and the wires repel each other. The current in one wire is 0.700 A
Compute the overall financial health of your company : Assess the overall financial health of your company based on this financial analysis
Tell me what z is equal to : Substitute these values into the formula and tell me what Z is equal to? What does this tell us?
What is the resulting CLV : Assume that Shannon's decides to move forward with its loyalty/rewards program. Estimates for the cost per customer are $6.34 per month.
Prepare entries to account for the transactions : Prepare entries to reflect how the following would be reported in the city's government-wide statements
Describe the advantages of using virtual teams : Describe the advantages of using virtual teams in a health care delivery environment.
What is the speed of the proton : A proton initially at rest is accelerated through an electric potential difference of 1800V. What is the speed of the proton
Compute the companys contribution margin for july : Estimate the company's total variable cost per unit and its total fixed costs per year. Compute the company's contribution margin for July.
Compute the range of price of fb : Assume the risk-free rate is 3% and will remain so for all time. Face- book (FB) currently trades at $120. You purchase a 1-year European $5-strike call options

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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