4600 thousand bonds with a face value of $1000 each, are sold at 104. The entry to record the issuance isCashPremium on BondsPayableBonds PayableCash47840004600000Premium on Bonds Payable 184000Bonds PayableCashBonds PayableCashDiscount on BondsPayableBonds Payable184000460000047840004784000478400047840001840004600000

Step 1:First calculate the face value, issue price and premium/discount on the bond: Face value =…

Answered: 4600 thousand bonds with a face value…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 16MC: Keys Inc. issued 100 bonds with a face value of $1,000 and a rate of 8% at $1,025 each. The journal...

See similar textbooks

Similar questions

Keys Inc. issued 100 bonds with a face value of $1,000 and a rate of 8% at $1,025 each. The journal entry to record this transaction includes ________. A. a credit to Bonds Payable for $102,500 B. a credit to cash for $102,500 C. a debit to cash for $100,000 D. a credit to Premium on Bonds Payable for $2,500
Willoughby Inc. issued 100 bonds with a face value of $1,000 and a stated rate of 4% and received $105,000. What is the journal entry to record the sale of the bonds?
why is the premium on bonds payable included in the journal entry?
Five thousand bonds with a face value of $2000 each, are sold at 112. The entry to record the issuance is Cash 11200000 Bonds Payable 11200000 Cash 11200000 Discount on Bonds Payable 1200000 Bonds Payable 10000000 Cash 11200000 Premium on Bonds Payable 1200000 Bonds Payable 10000000 Cash 10000000 Premium on Bonds Payable 1200000 Bonds Payable 11200000
6400 bonds with a face value of $1000 each, are sold at 105. The entry to record the issuance is Cash Discount on Bonds Payable Bonds Payable Cash Premium on Bonds Payable Bonds Payable Cash Bonds Payable Cash Premium on Bonds Payable Bonds Payable 6720000 6720000 6720000 6400000 320000 320000 6400000 320000 6400000 6720000 6720000
Five thousand bonds with a face value of $1000 each, are sold at 98. The entry to record the issuance is Cash Bonds Payable 4900000 4900000 Cash 4900000 Premium on Bonds Payable 100000 Bonds Payable 5000000 Cash 5000000 Discount on Bonds Payable Bonds Payable 100000 4900000 Cash 4900000 Discount on Bonds Payable 100000 Bonds Payable 5000000
Five thousand bonds with a face value of $1000 each, are sold at 102. The entry to record the issuance is Cash 5100000      Discount on Bonds Payable 100000      Bonds Payable 5000000 Cash 5100000      Bonds Payable 5100000 Cash 5000000 Premium on Bonds Payable 100000      Bonds Payable 5100000 Cash 5100000      Premium on Bonds Payable 100000      Bonds Payable 5000000
Five thousand bonds with a face value of $2000 each, are sold at 89. The entry to record the issuance is Cash 8900000      Premium on Bonds Payable 1100000      Bonds Payable 10000000 Cash 8900000      Bonds Payable 8900000 Cash 10000000      Discount on Bonds Payable 1100000      Bonds Payable 8900000 Cash 8900000 Discount on Bonds Payable 1100000      Bonds Payable 10000000
Five thousand bonds with a face value of $2000 each, are sold at 106. The entry to record the issuance is 1-    Cash 10600000      Premium on Bonds Payable 600000      Bonds Payable 10000000 2-1      Cash 10000000 Premium on Bonds Payable           600000              Bonds Payable 10600000 3-    Cash 10600000             Bonds Payable 10600000 4-      Cash 10600000      Discount on Bonds Payable 600000      Bonds Payable 10000000
If 70 $1000 bonds with a carrying value of $84000 are redeemed for $79000, the journal entry to record the transaction is Bonds Payable Premium on Bonds Payable Cash Bonds Payable Cash Gain on Bond Redemption Discount on Bonds Payable 14000 Bonds Payable Cash 70000 Bonds Payable 14000 84000 84000 70000 84000 79000 19000 84000 C M Q M oʻ
Bonds Payable has a balance of $900,000 and the Premium on Bonds Payable account has a balance of $45,000. The carrying amount of the bonds is: Group of answer choices $945,000 $45,000 $900,000 $855,000
Sunland Company received proceeds of $533000 on 10-year, 8% bonds issued on January 1, 2019. The bonds had a face value of $500000, pay interest annually on December 31, and have a call price of 102. Sunland uses the straight-line method of amortization. What is the amount of interest Sunland must pay the bondholders in 2019? O $40800 O $42640 O $40000 O $4264

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS