User Account

All Pages

Record the issuance of the bonds and bond interest

Assignment Help Accounting Basics
Reference no: EM132541057

Question - It Corporation sold $15,000,000, 8%, 10-year bonds on January 1, 2020. The bonds apply interest on July 1 and January 1. Mr. A uses the straight-line method to amortize bond premium or discount. Assume no interest accrued on June 30.

Instruction -

1. Prepare all the necessary journal entries to record the issuance of the bonds and bond interest happens for 2020, assuming that the bonds sold at 102.

2. Prepare journal entries as in part (1) assuming that the bond sold at 95.

3. Show statement of financial position presentation for each bond issued at December 31, 2020.

Reference no: EM132541057

Questions Cloud

What are the pros and cons of different proposals : Imagine that you are a resident of Ashfordton, a community whose characteristics are described below. You have come together with your neighbors for a special.
Define a business plan : Demonstrate the ability as to how to design a business plan and Describe the key roles of a business plan in creating a new venture
Two ways you would generate the funds needed : Describe two ways you would generate the funds needed to start such a business. Next, discuss any risks or benefits you should be aware of when gathering
What examples of features of products organization offer : What examples of features of products or services does your organization (or one in which you have worked for in the past) offer/provide?
Record the issuance of the bonds and bond interest : Prepare all the necessary journal entries to record the issuance of the bonds and bond interest happens for 2020, assuming that the bonds sold at 102
How a transfer of products between two divisions should take : Generally, How a transfer of products between two divisions should take place if it? allows division to benefit from technology developed in another division.
How much will each annual payment be : The savings account pays 8.31 percent per year, compounded annually. How much will each annual payment be?
What is the value of the equity of the firm : Free cash flow to equity is projected to grow at a constant 5% annual rate. What is the value of the equity of the firm
What should be objective of a firm transfer pricing policy : What should be the objective(s) of a firm's transfer pricing policy? Promote goal congruence, while maintaining divisional autonomy so that accurate

Reviews

Write a Review

Accounting Basics Questions & Answers

  Find the latest market value of the securities in each pair

Listed below are three pairs of stocks. Look at each pair and select the security you would like to own, given that you want to select the one that's worth.

  What is the market capitalization of the firm

What are their return on assets (ROA) and return on equity (ROE)? What are their short ratio?What is the average daily trading volume (Average Volume)?

  On june 30 2009 airport company issued 1500000 of 10 year 8

1. journalize the entries to record the following selected bond investment transactions for southwest bank 1. purchased

  Which alternative should the company choose

Which alternative should the company choose? Use the Net Present Value (NPV) approach. (Round to the nearest whole dollar.)

  Calculate contribution margin and operating income

CVP computations. Garrett Manufacturing sold 410,000 units of its product for $68 per unit in 2017. Variable cost per unit is $60, and total fixed costs.

  What ratio would you compute

If you want to evaluate a company's liquidity and short-term debt paying ability, what ratio would you compute

  You expect a return of 6 how much would you be willing to

if you invested 500 per year for 20 years how much would you have at the end of the 20 years if you earned 5 per

  You invest 1000 in a certificate of deposit that matures

you invest 1000 in a certificate of deposit that matures after 10 years and pays 5 percent interest which is compounded

  Please review the following real-world ratios for johnson

please review the following real-world ratios for johnson amp johnson and pfizer for the year ended 2012 and address

  Compute how much is net income

The data are complete and provide the basis for preparation of an income statement. Compute how much is net income

  Gains from nonoperating activities

1. Income from continuing operations sometimes includes gains from nonoperating activities. 2. Income from continuing operations is an after-tax number consisting of revenues, expenses, gains, and losses.

  Your organization is in the software industry and creates a

your organization is in the software industry and creates a software product for library textbooks and assets which is

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