Corporation. Interest is paid semi-annually. The bond indenture indluded the following int Face value P300,000 January 1, 2017 January 1, 2027 14% 12% Date of bonds Maturity date Stated interest rate Effective (market rate of interest) Required: 1. Prepare the journal entry to record the issuance of the bonds. Show supporting cal the amounts used in the entry. 2. What is the total interest expense of the Bakunawa Comnan

Corporation. Interest is paid semi-annually. The bond indenture indluded the following int Face value P300,000 January 1, 2017 January 1, 2027 14% 12% Date of bonds Maturity date Stated interest rate Effective (market rate of interest) Required: 1. Prepare the journal entry to record the issuance of the bonds. Show supporting cal the amounts used in the entry. 2. What is the total interest expense of the Bakunawa Comnan

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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iRequirements 1. Journalize Andersen Brothers's transactions related to the bonds for 2018. 2. Journalize the entry required on the Thomson bonds maturity date. (Assume the last interest payment has already been recorded.) Print Done
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Subject - account Please help me. Thankyou.
Aggies Inc. issued bonds with a $450,000 face value, 8% interest rate, and a 4-year term on July 1, 2018, and received $510,000. Interest is payable semi-annually. The premium is amortized using the straight-line method. A. July 1, 2018: entry to record issuing the bonds B. Dec. 31, 2018: entry to record payment of interest to bondholders C. Dec. 31, 2018: entry to record amortization of premium Prepare journal entries for the above transactions. If an amount box does not require an entry, leave it blank. A. fill in the blank 2 fill in the blank 3 fill in the blank 5 fill in the blank 6 fill in the blank 8 fill in the blank 9 B. fill in the blank 11 fill in the blank 12 fill in the blank 14 fill in the blank 15 C.
D2. Account
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What is the journal entry to record issuance of the bonds on January 1, 2019? Dr. Cash, P500,000 and Cr. Bonds Payable, P500,000 Dr. Cash, P500,000 Cr. Premium on Bonds Payable, P28,253 & Cr. Bonds Payable P471,747 Dr. Cash, P471,747; Dr. Discounts on Bonds Payable, P28,253 & Cr. Bonds Payable P500,000 Dr. Cash, P471,747; Dr. Interest Expense, P28,253 and Cr. Bonds Payable P500,000
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