Date General Journal Debit Credit January 01, 2021
Q: Stanford issues bonds dated January 1, 2021, with a par value of $258,000. The bonds' annual…
A: The bonds are issued to raise the money from the market or investors. The bonds are treated as the…
Q: On January 1, 2021, Splash City issues $360,000 of 7% bonds, due in 10 years, with interest payable…
A: Semiannual interest payment = Face value of bonds x rate of interest x no. of months/12 = $360000 x…
Q: On September 30, 2024, the Techno Corporation issued 8% stated rate bonds with a face amount of $460…
A: Lets understand the basics.Bonds payable are one of the sources of finance and are shown as…
Q: Tano Company issues bonds with a par value of $90,000 on January 1, 2021. The bonds' annual contract…
A: Par value of bonds$90,000Less: Proceed received$85,431Discount ($90,000 - $85,431)$4,569
Q: Viking Voyager specializes in the design and production of replica Viking boats. On January 1, 2021,…
A: Bonds are a source of funds. Generally, bonds are issued to the public by corporations and…
Q: On January 1, 2021, Splash City issues $320,000 of 8% bonds, due in 15 years, with interest payable…
A: Semiannual interest payment = Face value of bonds x rate of interest x no. of months/12 = $320000 x…
Q: Tano Company issues bonds with a par value of $94,000 on January 1, 2021. The bonds' annual contract…
A: A bond is a debt security that is always issued by a company, municipality, or government. It is a…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $760,000. The bonds' annual…
A: A premium bond is a bond whose current price is more than its face value. It will always have a…
Q: Mi-T-M Corporation is a manufacturer of high quality industrial equipment including power washers…
A:
Q: Stanford issues bonds dated January 1, 2019, wi 3%, and interest is paid semiannually on June 30…
A: Bonds are priced by discounting future cash flows. Future cash flows include coupons and par value…
Q: On January 1, 2021, Flamengo Co. issued a four-year, $10,000, 7% bond. The interest is payable…
A: A bond is a financial debt security issued by large business organizations or governments. It is…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $900,000. The bonds' annual…
A: The bonds payable are treated as long term liabilities. The bonds are issued to raise money from the…
Q: Quatro Co. issues bonds dated January 1, 2019, with a par value of $720,000. The bonds’ annual…
A: Given that: Par value of bonds = $720,000 Issue price of bonds $757,732
Q: On January 1, 2021, Splash City issues $320,000 of 8% bonds, due in 15 years, with interest payable…
A: Entry to record the issuance of bonds payable.
Q: Discount-Mart issues $15 million in bonds on January 1, 2024. The bonds have a ten-year term and pay…
A: Cost which is incurred for funds borrowed by entity is referred to as interest expense. To put it…
Q: How much interest will Flamengo pay to the bondholders on December 31 2022?
A: It is pertinent to note that the current price or value of bond is the present value of all cash…
Q: On January 1, 2021, Universe of Fun issues $900,000, 8% bonds that mature in 10 years. The market…
A: Bonds: This is just like debt for the issue of investors by the company. Bond is dependent on the…
Q: On January 1, 2024, Christmas Anytime issues $680, 000 of 5% bonds, due in 10 years, with interest…
A: Issue price of bonds would be the present value of the interest annuity & maturity amount at…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $740,000. The bonds' annual…
A: Issue Price$758,222Less: Par Value$740,000Premium ($758,222 - $740,000)$18,222
Q: On September 30, 2021, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of…
A: Calculate the present value of the principal amount as shown below:
Q: Record the second semiannual interest payment. Note: Enter debits before credits. Date General…
A: Journal Entry: A journal entries is a record of the business transactions within the accounting…
Q: On June 30, 2021, Moran Corporation issued $13.0 million of its 8% bonds for $11.7 million. The…
A: Lets understand basics. When bond is issued for less than its face value then it is known to be…
Q: On January 1, 2020, Johny Industries issued ten-year bonds with a face value of $2,000,000 and a…
A: The bonds are the financial instruments for the business which are used to raise money from the…
Q: he Maple Company issued 5-year bonds on January 1, 2020. The debt has a face value of $400,000 and…
A: Price of bond is the sum of present value of future cash flows from the bond. Cash flows include…
Q: Quatro Co. issues bonds dated January 1, 2019, with a par value of $730,000. The bonds’ annual…
A: Formula: Premium on Bonds = Sell price - PAR value Deduction of PAR value from Sell price of bonds…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $810,000. The bonds’ annual…
A: The bonds are issued at premium means the cash received form the issue of bonds is more than its…
Q: On June 30, 2021, Moran Corporation issued $13.5 million of its 6% bonds for $12.1 million. The…
A:
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $780,000. The bonds' annual…
A: The bonds are reported as the long-term liabilities in the balance sheet. The bonds are issued to…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $700,000. The bonds' annual…
A: The bonds payable are treated as long term liabilities. The bonds are issued to raise money from the…
Q: Chicken Wings company issued P1 million face value bonds for P1,032,880 on January 2, 2022, a price…
A: Interest expense = issue price of bond ×yield
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $750,000. The bonds' annual…
A: The bonds are issued at a premium when the market rate is lower than the coupon rate of bonds…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $900,000. The bonds' annual…
A: When a corporation sells bonds to earn cash, bonds payable are recognized. The corporation is a…
Q: Construct a bond amortization table for this problem to indicate the amount of interest expense and…
A: The bonds are the financial instruments for the business. The bonds are issued to raise money from…
Q: Quatro issues bonds dated January 1, 2021, with a par value of $900,000. The bonds' annual contract…
A: Bonds payable refers to a type of long-term debt that a company or organization issues to borrow…
Q: On January 1, 2018, Splash City issues $470,000 of 7% bonds, due in 20 years, with interest payable…
A: Amortization schedules show down how much of each payment goes toward principle reduction and how…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $400,000. The bonds' annual…
A: The bonds are the financial instruments that are used to raise money from the market or investors.…
Q: Tano Company issues bonds with a par value of $87,000 on January 1, 2021. The bonds' annual contract…
A: Introduction: Bonds are issued to finance ongoing maintenance as well as infrastructure upgrades.…
Q: On July 1 2021, espresso industries issued $700000 of 12 % bonds, dated July 1. Interest is payable…
A: Face value = $700,000Coupon rate =12%Maturity = 3 yearsYield to maturity = 14%Proceeds =…
Q: Viking Voyager specializes in the design and production of replica Viking boats. On January 1, 2021,…
A: Bonds payable: It can be defined as the type of long term debt that is generally issued by large…
Q: On January 1, 2019, Company C issues $200,000 of its 6% bonds which mature in 10 years. Interest is…
A: Determine the price of the bond: Present value of principle amount ($200,000, 4%, 10 years)…
Q: Quatro Company issues bonds dated January 1, 2021, with a par value of $700,000. The bonds' annual…
A: Issue Price$717,237Less: Par Value$700,000Premium ($717,237 - $700,000)$17,237
Q: On March 31, 2020, Adtech Inc. issued $200,000, 9%,10-year bonds. The bonds pay interest…
A: Prepare journal entries as follows: Result:
Q: Claremont Inc. issued a $400,000 bond on January 1, 2020. The bond had a five-year life and an 8%…
A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: On January 1, 2021, a firm issues bonds with a face amount of $1,500,000. The stated rate is 10%,…
A: Issuing bonds is one way for companies to raise money. A bond functions as a loan between an…
Q: On January 1, 2024, Tableau Company issues $20 million of 9% bonds, due in six years, with interest…
A: Determination of whether bonds have been issued at face value, premium, or discount:If the issue…
Q: On January 1, 2021, Lambda, Inc. issued ten-year bonds with a face value of $1,000,000 and an annual…
A: Bonds issued at discount: Bonds are said to be issued at discount if the issue price is less than…
Q: On December 31. 2020, Paulson company issues a 4-year bond with a par value of $100,000, a contract…
A: Bond issuance is an act in which bond securities are provided by the company in return for cash or…
Q: On June 1, 2024, Blossom Bottle Company sold $3,720,000 in long-term bonds for $3,262,833. The bonds…
A: Bonds are a long-term liability that are issued for a fixed term. A periodic fixed interest is paid…
On January 1, 2021, Twister Enterprises, a manufacturer of a variety of transportable spin rides, issues $570,000 of 8% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. If the market interest rate is 9%, the bonds will issue at $517,555. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. Record the bond issue. Record the first semiannual interest payment. Record the second semiannual interest payment. In this format in this picture below:
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- Viking Voyager specializes in the design and production of replica Viking boats. On January 1, 2021, the company issues $1,860,000 of 7% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year. 3. If the market interest rate is 6%, the bonds will issue at $2,042,284. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest dollar amount.)On June 1, 2024, Ivanhoe Bottle Company sold $3,240,000 in long-term bonds for $2,841,822. The bonds will mature in 10 years and have a stated interest rate of 8% and a yield rate of 10 %. The bonds pay interest annually on May 31 of each year. The bonds are to be accounted for under the effective - interest method. (a) Construct a bond amortization table for this problem to indicate the amount of interest expense and discount amortization at each May 31. Include only 531 the first four years. (Round answers to 0 decimal places, e.g. 25,000.) \table[[Date, Credit Cash, Debit Interest Expense,Credit Bond Discount Carrying Amount of Bonds], [6/1/24,,,], [₁₁/25,,,], [¸₁/27,,,], [28 ,,,]] 5 31 5 31On January 1, 2024, Christmas Anytime issues $850,000 of 6% bonds, due in 10 years, with interest payable semiannually on June 30 and December 31 each year. Assume that the market interest rate is 5% and the bonds issue at a premium. 3a. Calculate the issue price of a bond.3b. Complete the first three rows of an amortization schedule. (FV of $1, PV of $1, FVA of $1, and PVA of $1)
- Stanford issues bonds dated January 1, 2021, with a par value of $253,000. The bonds' annual contract rate is 6%, and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 8%, and the bonds are sold for $239,733. 1. What is the amount of the discount on these bonds at issuance?2. How much total bond interest expense will be recognized over the life of these bonds?3. Prepare an effective interest amortization table for these bonds.Quatro Company issues bonds dated January 1, 2021, with a par value of $760,000. The bonds' annual contract rate is 10%, and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 8 %, and the bonds are sold for $799, 828. What is the amount of the premium on these bonds at issuance? How much total bond interest expense will be recognized over the life of these bonds? Prepare an effective interest amortization table for these bondsOn January 1, 2024, Splash City issues $500,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. The market interest rate on the issue date is 10% and the bonds issued at $457,102. Required: 1. Using an amortization schedule, show that the bonds have a carrying value of $458,633 on December 31, 2025. (Round your final answers to nearest whole dollar.)
- Mindsetta Music Inc. issued bonds on March 1, 2020, with a par value of $420,000. The bonds mature in 15 years and pay 14.00% annual interest in two semiannual payments. On the issue date, the annual market rate of interest for the bonds turned out to be 16%. (Table attached for reference) 1. What is the semiannual interest payment for these bonds? 2. How many semiannual interest payments will be made on these bonds over their life? 3. Are the bonds issued at discount, premium, or par? 4. Estimate the market value of the binds as the date they were issued 5. Journal entry: Record the sales of bonds at discount on the original issue dateOn September 30, 2024, the Techno Corporation issued 8% stated rate bonds with a face amount of $280 million. The bonds mature on September 30, 2044 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30. Required: Determine the price of the bonds on September 30, 2024.Quatro Company issues bonds dated January 1, 2021, with a par value of $880,000. The bonds' annual contract rate is 13%, and interest is paid semiannually on June 30 and December 31. The bonds mature in three years. The annual market rate at the date of issuance is 12%, and the bonds are sold for $901,670. What is the amount of the premium on these bonds at issuance? How much total bond interest expense will be recognized over the life of these bonds? Prepare a straight-line amortization table for these bonds.
- On September 30, 2024, the Techno Corporation issued 8% stated rate bonds with a face amount of $200 million. The bonds mature on September 30, 2044 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30. Required: Determine the price of the bonds on September 30, 2024. Note: Use tables, Excel, or a financial calculator. Round your final answers to nearest whole dollar amount, not in millions. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) Time values are based on: n= i= Cash Flow Interest Principal Price of bonds S S Amount 40 5% 8,000,000 200,000,000 Present Value[The following information applies to the questions displayed below.) On January 1, 2024, Splash City issues $380,000 of 8% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year. Assuming the market interest rate on the issue date is 9%, the bonds will issue at $349,051. 2. Record the bond issue on January 1, 2024, and the first two semiannual interest payments on June 30, 2024, and December 31, 2024.On January 1, 2021, Splash City issues $400,000 of 8% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year.Assuming the market interest rate on the issue date is 9%, the bonds will issue at $367,422. Exercise 9-8A Part 2 2. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your intermediate and final answers to the nearest whole dollar.)