(c) Bonds Payable Add : Premium on Bonds Payable Your answer is partially correct. Skysong, Inc. Balance Sheet (Partial) December 31, 2023 What amount of interest expense is reported for 2023? Interest expense $ $ 1,400,000 86,936 1,486,936 Would the bond interest expense reported in 2023 be the same as, greater than, or less than the amount that would be reported if the straight-line method of amortization were used? (Round answers to 0 decimal places, e.g. 15,250.) The bond interest expense reported in 2023 will be greater than the amount that would be reported if the straight-line meth

(c) Bonds Payable Add : Premium on Bonds Payable Your answer is partially correct. Skysong, Inc. Balance Sheet (Partial) December 31, 2023 What amount of interest expense is reported for 2023? Interest expense $ $ 1,400,000 86,936 1,486,936 Would the bond interest expense reported in 2023 be the same as, greater than, or less than the amount that would be reported if the straight-line method of amortization were used? (Round answers to 0 decimal places, e.g. 15,250.) The bond interest expense reported in 2023 will be greater than the amount that would be reported if the straight-line meth

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter14: Financing Liabilities: Bonds And Long-term Notes Payable

Section: Chapter Questions

Problem 7P: Wilbury Corporation issued 1 million of 13.5% bonds for 985,071.68. The bonds are dated and issued...

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Devin Company computes the following bond interest amortization table for bonds issued on January 1, 2021. Use the information on this table to answer the questions below. Interest Cash Payment Payment Interest Decrease in Вook Date Amount Discount Value Expense $441,068 $444,310 $447,683 $451,190 $454,838 $458,631 $462,577 $466,680 $470,947 $475,385 Discount $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $81,068 $84,310 $87,683 $91,190 $94,838 $98,631 $102,577 $106,680 $110,947 $115,385 $892,240 $807,929 $720,247 $629,056 $534,219 $435,587 $333,011 $226,331 $115,385 $0 $11,107,760 $11,192,071 $11,279,753 $11,370,944 $11,465,781 $11,564,413 $11,666,989 $11,773,669 $11,884,615 $12,000,000 June 30, 2021 Dec 31, 2021 June 30, 2022 Dec 31, 2022 June 30, 2023 Dec 31, 2023 June 30, 2024 Dec 31, 2024 June 30, 2025 Dec 31, 2025
Federal Semiconductors issued 8% bonds, dated January 1, with a face amount of $830 million on January 1, 2021. The bonds sold for $753,634,356 and mature on December 31, 2040 (20 years). For bonds of similar risk and maturity the market yield was 9%. Interest is paid semiannually on June 30 and December 31. Required: 1. to 3. Prepare the journal entries to record their issuance by Federal on January 1, 2021, interest on June 30, 2021 (at the effective rate) and interest on December 31, 2021 (at the effective rate). 4. At what amount will Federal report the bonds among its liabilities in the December 31, 2021, balance sheet? Complete this question by entering your answers in the tabs below. Req 1 to 3 Req 4 Prepare the journal entries to record their issuance by Federal on January 1, 2021, interest on June 30, 2021 (at the effective rate) and interest on December 31, 2021 (at the effective rate). (If no entry is required for a transaction/event, select "No journal entry required" in…
On January 1, 2025, Blue Company sold 11% bonds having Prepare a schedule of interest expense and bond amortization for 2025 - 2027. (Round answer to 2 decimal places, e.g . 38, 548.25.) Schedule of Interest Expense and Bond Premium Amortization Effective - Interest Method a maturity value of $500,000.00 for $518, 953.45, which provides the bondholders with a 10% yield. The bonds are dated January 1, 2025, and mature January 1, 2030, with interest payable December 31 of each year. Blue Company allocates interest and unamortized discount or premium on the effective - interest basis.
(b) Prepare a bond amortization schedule up to and including January 1, 2028, using the effective-interest method. (Round present value factor to 5 decimal places, e.g. 1.24356 and final answers to 0 decimal places, e.g. 38,548.) Date 1/1/24 1/1/25 1/1/26 1/1/27 1/1/28 $ Cash Paid $ Interest Expense $ Premium Amortization GA Carrying Value of Bonds
Devin Company computes the following bond interest amortization table for bonds issued on January 1, 2021. Use the information on this table to answer the questions below. Interest Cash Payment Payment Interest Decrease in Вook Date Amount Expense Discount Discount Value June 30, 2021 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $360,000 $441,068 $444,310 $447,683 $81,068 $84,310 $87,683 $91,190 $94,838 $98,631 $892,240 $807,929 $720,247 $629,056 $534,219 $435,587 $11,107,760 $11,192,071 $11,279,753 $11,370,944 $11,465,781 $11,564,413 $11,666,989 $11,773,669 $11,884,615 $12,000,000 Dec 31, 2021 June 30, 2022 $451,190 $454,838 $458,631 Dec 31, 2022 June 30, 2023 Dec 31, 2023 $462,577 $466,680 $102,577 $106,680 $333,011 $226,331 June 30, 2024 Dec 31, 2024 $360,000 $360,000 $470,947 $475,385 $110,947 $115,385 June 30, 2025 $115,385 Dec 31, 2025 $0 1. What journal entry will Devin make on June 30, 2022 to record the third interest payment? 2. When the bonds mature on…
Subject: acounting
A comapny has issued a $162, 000, 3 year, zero interest bond dated January 1, 2023. The market interest rate for similar bonds was 11%. Assume the company used the effective interest method of amortization. Prepare a schedule of bond discount/premium amortization. (Round answers to 0 decimal places, e. g. 5, 275. Do not leave any answer field blank. Enter 0 for amounts.)
The last right top column should be the Carrying Amount of Bonds for this method.
I need part B done please and thank you.
What gain or loss, if any, would X2 record in this date?
Prepare entry for bonds issued. BE10.9 (LO 3), AP Ravine Company issues $400,000, 20-year, 7% bonds at 101. Prepare the journal entry to record the sale of these bonds on June 1, 2022. Prepare journal entries for bonds issued at face value.
2. On December 31,2020, what amount should be recorded as discount or premium on bonds payable? A. 170,000 discount B. 450,000 premium C. 450,000 discount D. 800,000 discount E. None of the above