Record the sale of the bonds for WV Inc

Assignment Help Accounting Basics
Reference no: EM132793379

On September 1, 2018, WV, Inc., bought $60,000 of MD Printer's 20-year, 6% bonds dated January 1, 2017, for $56,920 plus accrued interest. The bonds pay interest annually and are classified as held-to-maturity. On September 1, 2028, WV sold one-third of these bonds for $18,000 plus accrued interest. No entries relating to the bonds had been made since December 31, 2027. Straight-line amortization was used.

Required:

Problem 1: Record the sale of these bonds.

Reference no: EM132793379

Questions Cloud

Principles have been recognized as core tenets : The following principles have been recognized as core tenets of the U.S. Constitution:
Alignment and social change : Alignment and social change will be important topics to return to as you prepare for the next courses in the research sequence
What is amount of Lee initial required minimum distribution : Uniform Life Table, for ages 71, and 72 are 26.5, and 25.6, respectively. What is the amount of Lee's initial required minimum distribution for 2021?
Make the journal entries necessary to record the purchase : Make the journal entries necessary to record the purchase of the bonds and the first two interest receipts using the straight-line method of amortization.
Record the sale of the bonds for WV Inc : Record the sale of these bonds. On September 1, 2018, WV, Inc., bought $60,000 of MD Printer's 20-year, 6% bonds dated January 1, 2017, for $56,920
Prepare the journal entries necessary by garcia to record : Prepare the journal entries necessary by Garcia to record the purchase of bonds and first two interest receipts using effective interest method of amortization
Prepare a investment discount amortization schedule : Assume the bonds were acquired for$312,921 to yield 14%. Prepare a investment discount amortization schedule for the first year of the investment
What is the implied effective interest rate : Illini also incurred $10,000 in debt issuance costs. What is the implied effective interest rate (half year rate) for the recording of the bonds?
How much will brian have in the bank immediately : How much will Brian have in the bank immediately after his 10th deposit? Round your answer to the nearest dollar. Use the full factor

Reviews

Write a Review

Accounting Basics Questions & Answers

  Briefly explain the relationship between fasb and iasb

Briefly explain the relationship between FASB and IASB. How do the FASB and IASB currently cooperate to establish accounting standards

  Compute the company inventory turnover

The company's beginning inventory balance was $140,000 and the ending inventory balance was $113,000. Compute the company's inventory turnover

  Estimating the useful lives of plant assets

Discuss the extent to which Bedell's idea will, in fact, achieve a cost savings. Consider the effects on both net income and cash flows. Who is responsible for estimating the useful lives of plant assets? Discuss any ethical issues that Gillespie s..

  Dell computer trades at a market-to-book ratio

Dell Computer trades at a market-to-book ratio of 15.86. The industry M/B ratio is 9.5. Even though Dell's M/B ratio is high relative to the industry, this ratio may tell us nothing about whether Dell's stock will outperform or underperform i..

  What was the cash flow to investors from operating activity

Tejada Enterprises reported EBITDA of $7,300,125, What was the cash flow to investors from operating activity during 2013

  Discuss the minimum amount in the fund balance account

what must be the minimum amount in the Fund Balance account of the General Fund at the beginning of FY 2011

  Balance sheet for the bonds and for the leases

What amounts will appear in S&R's December 31, 2013, balance sheet for the bonds and for the leases?

  Determine the differential cost of producing product c

Jones Co. can further process Product B to produce Product C. Product B is currently selling for $30.00. Determine the differential cost of producing Product C.

  What entries should be made after each game

Carolina University sold 9,000 season football tickets at $100 each for its five-game home schedule.

  O november 4 2011 blue company acquired an asset 275-year

on november 4 2011 blue company acquired an asset 27.5-year residential real property for 300000 for use in its

  If a company needs 50000 5 years from now how much would

if a company needs 50000 5 years from now how much would need to be deposited today using a required rate of return of

  Consider accepting stock of a new corporation

Why would a law firm ever consider accepting stock of a new corporation having a total par value of USD 320,000 as payment in full of a USD 480,000 bill for legal services rendered? If such a transaction occurred, give the journal entry the issui..

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