Prepare the journal entry for december year seven

Assignment Help Accounting Basics
Reference no: EM132835352

On September 1, Year 7, Bob the Builder issues a 10-year bonds with face value of $100,000 at 103. However, the net proceeds from the issuance of bonds is only $102,000 because the company had to pay $1,000 issue costs. Annual rate of 5.5% coupon is paid at March 1 and September 1. The company records its bonds at amortized cost and uses straight-line method for the amortization.

Problem (1) Prepare the amortization schedule up to September 1, Year 8.

Problem (2) Prepare the journal entry for December 31, Year 7 (fiscal year-end). If the journal entry is not required, please say so (instead of leaving it blank).

Reference no: EM132835352

Questions Cloud

What are potential pitfalls of proprietary technologies : Describe and differentiate IaaS, PaaS and SaaS. What are some of the benefits and risks associated with Cloud Computing as a solution how does Cloud impact.
What are external barriers in business communication : What are external barriers in business communication? Why is it a barrier? Give 2 3 example.
Evaluate the effectiveness of a strategic plan : Keeping in mind the aspects of planning, leading, organizing, and controlling, explain how you would evaluate the effectiveness of a strategic plan.
Determine whether reliable enterprises accept the offer : Material costs are expected to increase 2% next year. From a financial perspective, determine whether Reliable Enterprises should accept the outsourcing offer
Prepare the journal entry for december year seven : Prepare the journal entry for December 31, Year 7 (fiscal year-end). If the journal entry is not required, please say so (instead of leaving it blank).
ENG200 Business Communication Assignment : ENG200 Business Communication Assignment Help and Solution, Emirates College of Technology - Assessment Writing Service
Review problem based on health workforce : The Health Workforce This discussion highlights on the health workforce as central to the health care system, and any changes in its deployment and utilization
Determine the carrying value of note payable for bob : Determine the carrying value of note payable for Bob the Broke right after the debt restructuring agreement. Bank of Montreal enters into a debt restructuring
How much would be classified as current liability : Bob the Builder purchases a lottery ticket. Out of the total liability at December 31, Year 7, how much would be classified as current liability?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Describe the rules of professional conduct

Selma Char decided to set up her own accounting practice. Describe the rules of professional conduct that are relevant for each of the situations described

  What is the projected operating cash flow for project

The incremental annual depreciation related to the long coat is $15,000. The tax rate is 34 percent. What is the projected operating cash flow for this project

  What is the balance in the capital account

What is the balance in the Capital account, The president of Adams Company has asked you to close the books

  Aglow company uses a process-cost system for its single

aglow company uses a process-cost system for its single product. material a is added at the beginning of the process in

  Finding out the contribution margin ratio

During April, 1,000 drives were sold. Fixed costs for March were $2 per unit for a total of $1,000 for the month. How much is the contribution margin ratio?

  How will the retained earnings account be affected by each

1.which of the following would not be classified as inventory?a. raw materialsb. office suppliesc. finished goodsd.

  How many units would reach break even

Fixed costs= $180. Selling each unit for $25, would you break even? How many units would reach break even? What would be the profit before tax?

  Do service sector or merchandising sector make choices

The main trouble with variable costing is that it ignores the increasing importance of fixed costs in manufacturing companies. Do you agree? Why?

  Most people have some exposure to an accounting information

most people have some exposure to an accounting information system but not all people have the same exposure or

  Is cannally and kennedy acting in an ethical manner

Tonya Latirno is a staff accountant for Cannally and Kennedy, a local CPA firm. For the past 10 years, Is Cannally and Kennedy acting in an ethical manner

  What is the materials cost per equivalent unit for april

The debits to Work in Process- Assembly Department for April together with data concerning production. What is the materials cost per equivalent unit for April?

  Compute depreciation expense for 2012 and 2013

Fernandez Corporation purchased a truck at the beginning of 2012 for $50,000. The truck is estimated to have a salvage value of $2,000 and a useful life of 160,000 miles. It was driven 23,000 miles in 2012 and 31,000 miles in 2013. Compute deprec..

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