CengageNOWv2| Online teachin × Cengage Learning x b Answered: CengageNOWv2| Onli x i v2.cengagenow.com/ilrn/takeAssignment/takeAssignmentMain.do?invoker=&takeAssignmentSessionLoca. ☆ 00 Ch 14-2 Practice Exercises Discount Amortization On the first day of the fiscal year, a company issues a $7,400,000, 8%, 9-year bond that pays semiannual interest of $296,000 ($7,400,000 × 8% × ½), receiving cash of $6,950,082. Journalize the first interest payment and the amortization of the related bond discount. Round to the nearest dollar. If an amount box does not require an entry, leave it blank. Interest Expense 320,995.45 X Discount on Bonds Payable 24,995.45 K Cash 296,000 Feedback Check My Work 2:35 PM P Type here to search 3/17/2020 II

Q: What is the formula for calculating interest on a note receivable?

A: Introduction:- A note receivable is a written promissory note to receive a specified amount of cash…

Q: What is the excess of the issue price of bonds over their face amount called? premium discount…

A: Premium on Bonds: When bond market costs higher than its face value then bonds is called at premium.…

Q: Who Issues Bonds?

A: A bond is a fixed income instrument. The bond holders are referred to as the debt holders or…

Q: Calculate the Sales Growth of the most recent year

A: Sales is the revenue which a company has earned during the year by way of providing the services or…

Q: What is the difference between face rate and market rate, and which rate would be higher if a bond…

A: There are many types of financial instruments issued to raise funds.

Q: How does the payment of a bank loan’s principal and a bond’s par value differ?

A: A bank loan is a common method and process for a business to acquire money and capital for various…

Q: How do interest rates affect bond valuations? What are the key assumptions in valuing a bond?

A: Bonds are the form of debt payable by the company. Interest rates on bonds to be paid is coupon…

Q: What is the difference between the stated interest rate and the market interest rate?

A: Bonds PayableBonds payable are referred to long-term debts of the business, issued to various…

Q: What is the difference between a note and a bond?

A: Both Note and bond are issued by treasury.These are interchangeably used terms as there is no legal…

Q: What is the stated rate for a bond?

A:

Q: What are income bonds and indexed bonds?

A: The income bond is a type of debt instrument wherein the borrower is relied upon to pay just the par…

Q: What is the principal repayment for a bond

A: There are two components principal and interest

Q: How is the present value of a bond calculated?

A:

Q: What is the carrying amount of a bond?

A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from…

Q: What is a bond payable?

A: Long-Term LiabilitiesLong-term liabilities are the obligations of the business that need not be paid…

Q: How does the carrying value of a bond gets amortized when selling it at discount?

A: The carrying value of bond represents the amount of Bond Face Value + unamortized premium (or )–…

Q: Category Prior Year Current Year Accounts payable 3,185.00 5,915.00 Accounts receivable 6,960.00…

A: Cash flow from operating activities (CFOA) is like the money flow generated or spent on the…

Q: How is an interest payment on a bond calculated?

A: Bonds are debt instruments issued by corporations with a fixed interest rate(coupon rate) and…