What are the proceeds from the bond issue

Assignment Help Accounting Basics
Reference no: EM133052273

Questions -

Q1. When the interest payment dates of a bond are May 1 and November 1, and a bond issue is sold on June 1, the amount of cash received by the issuer will be

increased by accrued interest from May 1 to June 1.

decreased by accrued interest from June 1 to November 1.

increased by accrued interest from June 1 to November 1.

decreased by accrued interest from May 1 to June 1.

Q2. Swifty Company issues $25500000, 4%, 5-year bonds dated January 1, 2020 on January 1, 2020. The bonds pay interest semiannually on June 30 and December 31. The bonds are issued to yield 3%. What are the proceeds from the bond issue?

ff 1.5% 2.0% 3% 4%

Present value of a single sum for 5 periods 0.92826 0.90573 0.86261 0.82193

Present value of a single sum for 10 periods 0.86167 0.82035 0.74409 0.67556

Present value of an annuity for 5 periods 4.78264 4.71346 4.57971 4.45182

Present value of an annuity for 10 periods 9.22218 8.98259 8.53020 8.11090

Reference no: EM133052273

Questions Cloud

Prepare an all-inclusive statement of comprehensive income : Waterway reported profit from operations of $125,000. Prepare an all-inclusive statement of comprehensive income starting with profit from operations
Quality assurance-enterprise system integration : Share with your peers how their choices for QA strategies could be used to supplement your own.
How much less would you have to deposit : If you deposit an amount now that will accumulate to $10,000 in 10 years. How much less would you have to deposit if the rate of interest was 6.5%
Implementing new interorganizational system : You are a member of the Human Resource Department of a medium-sized organization that is implementing a new interorganizational system
What are the proceeds from the bond issue : The bonds pay interest semiannually on June 30 and December 31. The bonds are issued to yield 3%. What are the proceeds from the bond issue
Detecting cryptocurrency fraud : Conclusion on challenges faced Detecting Cryptocurrency Fraud with Neo4j in the Coinbase organization
What amount should be reported as unearned service contract : What amount should be reported as unearned service contract revenues in Bonita's December 31, 2019 balance sheet
Need critique with references : Need critique with references - Organizations and Cyber crime: An Analysis of the Nature of Groups engaged in Cyber Crime
What countermeasures might have blocked attack : Many security experts argue that their primary concern isn't hardware or software. what countermeasures might have blocked the attack.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much money did the def corporation receive

When the bonds were sold, the market rate of bond interest was 12%. How much money did the DEF Corporation receive when it sold the bonds?

  Identify each of the following kind of accounts as a

identify each of the following kind of accounts as a revenue r expense e asset a liability l or equity oe by placing

  Compute the present value of the lease payments

On December 31, 2019, Metlock Corporation signed a 5-year, non-cancelable lease for a machine. Compute the present value of the lease payments

  Calculate the multifactor productivity composed of labor

Calculate the multifactor productivity composed of labor and capital units shipped plus finished goods for PCCorp. In place of fixed costs use (sales + finished goods)

  How much place plus should be willing to pay consulting firm

Assuming that the consulting firm could supply an accurate report, determine how much Place- Plus should be willing to pay the consulting firm and how efficient the information will be.

  Was the inventory in transit sold to abercrombie and fitch

These balances included inventory in transit balances of $ 34.8 million, $ 103.1 million, and $ 55.0 million at February 2, 2013; January 28, 2012; and January 29, 2011, respectively. Inventory in transit is considered to be all merchandise owned by ..

  What is its weighted average cost of capital

Its optimal capital structure is 60% debt and 40% equity. If Corcovado's beta is estimated at 0.8, what is its weighted average cost of capital

  Write down your recommendations to kevin

Kevin told his girlfriend all about the confidential information. Do you think Kevin acted appropriately?

  Advantages and disadvantages of being a corporation

Identify and discuss the major characteristics of a corporation, including the advantages and disadvantages of being a corporation.???

  What implications does EDI will have on audit evidence

What implications does EDI (electronic data interchange) and image-processing systems will have on audit evidence? Support your reply post

  Compute the annual margin of safety in units

Brewer Corporation estimated its quarterly break-even sales for 2017 to be 45,800 units, Compute the annual margin of safety in units

  Calculate NPV, Payback period and IRR

Anderson Corporation is planning to purchase new computer which would cost $1,850,000. Calculate NPV, Payback period and IRR

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