User Account

All Pages

Prepare the january journal entry to record the bond

Assignment Help Accounting Basics
Reference no: EM132808404

Hillside issues $4,000,000 of 6%, 15-year bonds dated January 1, 2015, that pay interest semiannually on June 30 and December 31. The bonds are issued at a price of $4,895,980.

Required:

Problem a) Prepare the January 1, 2015, journal entry to record the bonds' issuance.

Problem b) For each semiannual period, compute (a) the cash payment, (b) the straight-line premium amortization, and (c) the bond interest expense.

Problem c) Determine the total bond interest expense to be recognized over the bonds' life.

Reference no: EM132808404

Questions Cloud

Designing a performance-based pay system : What are the precise factors you would deploy in designing a performance-based pay system for an individual working in a work team whose output
Compute the price of the bonds as of their issue date : Use the interest rates given to determine whether the bonds are issued at par, at a discount, or at a premium.Compute the price of bonds as of their issue date.
What is the amount of cash that wasp receives today : What is the amount of cash that Wasp receives today? Wasp Corporation has a loan agreement that provides it with cash today
Explain the implications that might have put hr department : Employees of Newlife Pharmaceuticals were a worried lot. With the news that the company was going to merge with Vision Pharma, all of them were worried about wh
Prepare the january journal entry to record the bond : For each semiannual period, compute (a) the cash payment, (b) the straight-line premium amortization, and (c) the bond interest expense.
United states-mexico-canada agreement : What are the benefits to labor from the United States-Mexico-Canada Agreement (USMCA)? Be specific. Please cite your references.
Compute the amount of each of the four equal total payments : Compute the amount of each of the four equal total payments. On January 1, 2015, Eagle borrows $100,000 cash by signing a four-year, 7% installment note.
Performance from employee and company perspective : How does a raise or salary increase relate to performance management and is it fair to relate money to a performance from an employee and company perspective?
Explain the importance of methodologically : Identify relevant quantitative methodologies that will support answering a research question and Describe quantitative data collection tools or strategies

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.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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