Prepare general journal entry to record issue of debentures

Assignment Help Financial Accounting
Reference no: EM132523321

Adelaide Briton Ltd issued a prospectus on 1 June 20X1 inviting applicants for 3,000 debentures of face amount $2,000, payable in full on application. Terms were 12% p.a. interest, payable annually, with a maturity date of 30 June 20X4. Exactly the right amount of applications were received by 30 June 20X1.

Question a) Prepare general journal entries to record the issue of debentures.

Question b) Prepare general journal entries to record the payments of interest and the repayment of principal.

Question c) Prepare ledger entries to record (a) and (b) above.

Reference no: EM132523321

Questions Cloud

Provide the journal entries necessary at dates to account : Provide the journal entries necessary at the 01/07/2015 dates to account for the above transactions and events. (Ignore narrations).
Impressed with ability to manage project : Your project sponsor has been impressed with your ability to manage this project. He has a project in mind for you when this project is over.
Collect specific artifacts from mobile phone : What happens if you have a legal situation and you want to collect specific artifacts from the mobile phone i.e. an iPhone such as texts or SMS messages?
What is the current ratio : What is the current ratio? (Use the formula from the book) What is the debt ratio?
Prepare general journal entry to record issue of debentures : Prepare general journal entries to record the payments of interest and the repayment of principal. Prepare general journal entry to record issue of debentures.
What is the firms beginning cash balance on february : On 1/1/2019, a firm had a beginning cash balance of $290. December/2018 sales were $490. What is the firms beginning cash balance on February
Explain what risk management processes : Discuss the tools and techniques you should you use to identify the project stakeholders. explain what risk management processes can be utilized.
Define systematic risk and non-systematic risk : Define systematic risk and non-systematic risk, and briefly explain their difference.????????? Do you agree or disagree with the above statement?
What will be the value of his savings : He decides to invest the money in a portfolio of assets that expects to earn 8% p.a. At the end of 25 years, what will be the value of his savings?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Calculating bond issue price

Calculating Bond Issue Price. On December 31, 2018, Assuming the market rate of interest is 6%, calculate at what price the bonds are issued.

  Bond issued-equire a debit to interest expense

A $5 million, 20 year, 12% bond issued on May 1, 2011, at face with interest payable on May 1 and Nov. 1 will require a debit to Interest Expense on May 1, 2013, in the amount of:

  Which is one of the responsibilities of the funds holders

In the acquisition financial management process, which is one of the responsibilities of the Funds Holders? Certify that funds are available

  Compute parson s gain or loss on the sale of truck

the accumulated depreciation was $22,500. The liquidation value for the truck is $3,000 on July 1. Compute Parson s gain or loss on the sale of the truck.

  Indicate dollar amounts to be reported as current liability

Frederic Chopin Corporation is preparing its December 31, 2008, balance sheet. The following items may be reported as either a current or long-term liability.

  What was the amount of cash received from customers

The following information is taken from the accounts of Birmingham Ltd for year ended 30 June 2016. What was the amount of cash received from customers?

  Actively participates in the rental activity

In the year 2006, Jay Smith (336-55-1983) paid $125,000 for a condominium that he uses as a rental property. In 2011, he spent $36,000 furnishing the condo. The property is located at 3906 East Far Lane #5, Santa Clara, CA 46883. Jay actively partici..

  How much will have in the account after three years

6% interest compounded monthly. How much will you have in the account after 3 years if no withdrawals or additional deposits are made?

  What is the expected rate of return on the project

What is the expected rate of return on the project and what is the project's standard deviation of returns - calculate and interpret the volume and price variances on the revenue side.

  Evaluate the brittany''s taxable income

Brittany received $45,000 of salary from her employer during the year. Brittany reports $3,000 of itemized deductions. Evaluate the Brittany's taxable income?

  A promissory note

A promissory note:

  What is the present value of the stream of payments

The bank will automatically deduct the payment from your account at the beginning of each month. What is your monthly equipment payment?

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