Prepare the journal entry at the date of the bond purchase

Assignment Help Accounting Basics
Reference no: EM131894190

Question - On January 1, 2017, Swifty Company purchased 9% bonds having a maturity value of $290,000, for $313,782.32. The bonds provide the bondholders with a 7% yield. They are dated January 1, 2017, and mature January 1, 2022, with interest receivable January 1 of each year. Swifty Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified in the held-to-maturity category.

Prepare the journal entry at the date of the bond purchase.

Reference no: EM131894190

Questions Cloud

Prepare the journal entry to recognize the impairment : The company believes that impairment accounting is now appropriate for these bonds. Prepare the journal entry to recognize the impairment
Greatest strength or skill related to conflict management : Describe what you believe to be your greatest strength or skill related to conflict management.
Chris has been elected president of her university : Chris has been elected president of her university. She must select five people to serve as her advisory council. Chris would like to choose her five best frien
Describe some of the incidents or failings : There may have been failures of ethics by Frank Campbell. Or not? Did he also fail his moral imperative? Describe some of the incidents or failings.
Prepare the journal entry at the date of the bond purchase : Swifty Company uses the effective-interest method to allocate unamortized discount or premium. Prepare the journal entry at the date of the bond purchase
Greatest impact on group functioning : Which source of diversity, demographic diversity or personal characteristics, has the greatest impact on group functioning?
Conflict can be productive for a group : Do you agree with the statement "conflict can be productive for a group?" Why or why not?
Assuming that hospital is a non tax paying entity : Assuming that hospital is a non tax paying entity, what is the project's NPV at a discount rate of 8%, and what is the project's IRR?
Provide a rationale for significance of the given problem : Provide a rationale for the significance of this problem. The rationale must be supported by the current or seminal literature.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Explain perpetual system and periodic system

Describe perpetual system and periodic system. Estimate the inventory of goods on hand at the close of business on March 11.

  Financial accounting statements

Describe the meaning of corporate governance and how it relates to financial accounting statements. Also, comment on how Sarbanes-Oxley can achieve the intentions stated in the KPMG report.

  What amount is the maximum allowable depreciation

There is an allowable Section 179 limit in the current year of $25,000. What amount is the maximum allowable depreciation

  Compute the equivalent units of production for the moulding

Compute the equivalent units of production for the moulding department for July, and determine the costs per equivalent unit for direct materials

  What is levi basis for the land and the improvements

He subdivides the land and installs streets and sewers at a cost of $100,000. What is Levi's basis for the land and the improvements

  As of december 31 2010 all jobs were finished but there

as of december 31 2010 all jobs were finished but there were four jobs that were not sold. costs incurred on these four

  Calculate the volume variance and break it down

In order to calculate the volume variance and break it down into enrollment and utilization components, how many flexible budgets must be constructed?

  Investment account and net income

Poster mistakenly accounted for the investment in Elliott using the cost method rather than the equity method of accounting. What effect would this have on the investment account and net income, respectively?

  What did shrek inc report as incomeor loss for period ending

In its December 31, 2014 year-end balance sheet Shrek, What did Shrek, Inc report as income/loss for the period ending December 31, 2015

  Why separate the traceable fixed costs from the common

why separate the traceable fixed costs from the common fixed costs? what is meant by a traceable fixed cost of a

  How the identified reports could assist the business

ACC539 - Accounting Information Systems Assignment. What additional reports could be run at the end of the month to assist business decision making? Provide details of how the identified reports could assist the business

  The information below pertains to bullfinch co for 2013

the information below pertains to bullfinch co. for 2013. there were no changes during 2013 in the number of common

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