Prepare journal entries to record transactions

Assignment Help Finance Basics

Reference no: EM1354996

Prepare journal entries to record the following transactions relating to long-term bonds of XYZ, Inc. (Show computations.)

(a) On June 1, 2006, XYZ, Inc. issued $600,000, 6% bonds for $587,640, which includes accrued interest. Interest is payable semiannually on February 1 and August 1 with the bonds maturing on February 1, 2016. The bonds are callable at 102.

(b) On August 1, 2006, XYZ, Inc. paid interest on the bonds and recorded amortization. XYZ, Inc. uses straight-line amortization.
(c) On February 1, 2008, XYZ, Inc. paid interest and recorded amortization on all of the bonds, and purchased $360,000 of the bonds at the call price. Assume that a reversing entry was made on January 1, 2008.

Reference no: EM1354996

Questions Cloud

Disadvantages of using a met-analysis : What are some of the disadvantages of using a met-analysis? Provide an example.

Illustrate what does the efficient market hypothesis : illustrate what does the efficient market hypothesis say will happen to the price of the stock when the $4 loss is announced.

Corporate governance system : What does the two designations mean? How would you compare the corporate governance systems of the United States and Germany. How did both countries come to have the systems they have? and what are the consequences of each system?

Write select statement that returns two columns : Write a SELECT statement that returns two columns: VendorName and PaymentSum, where PaymentSum is the sum of the PaymentTotal column.

Prepare journal entries to record transactions : Make journal entries to record the following transactions relating to long-term bonds of XYZ, corporation and Show all calculations.

Determine the energy released in the explosion : An aluminum cup of mass 200 g contains 800 g of water in thermal equlibrium at 80.0c. the combination of cup and water is cooled unformly so that temperature decreases by 1.50c per minute. at what rate is energy being removed by heat.

Explain the organizational and societal functions of pr : Select an organization and identify an issue within that organization that would have both organizational and societal implications and explain the organizational and societal functions of PR.

Administering the bsi : What are the diversity considerations related to administering the BSI for one who is Hispanic and complains of often being angry and lacking energy and how could the professional address this issue?

Determining estimated uncollectible-adjusting entry : Determine the total estimated uncollectibles. Prepare the adjusting entry at March 31 to record bad debts expense.

User Account

All Pages