Entries for bond (held-to-maturity) investmentsDemopoulos Company acquired $151,200 of Marimar Co., 8% bonds on May 1 at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, Demopoulos Company sold $48,000 of the bonds for 98.Journalize the entries to record the following:If an amount box does not require an entry, leave it blank.a. The initial acquisition of the bonds on May 1.Маy 1b. The semiannual interest received on November 1.Nov. 1c. The sale of the bonds on November 1.Nov. 1d. The accrual of $1,376 interest on December 31.Dec. 31

Answered: Demopoulos Company acquired $151,200 of…

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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3 N is Prepare Garzon Company's journal entries to record the following transactions for the current year. January 1 Purchases 8.5% bonds (as a held-to-maturity investment) issued by PBS at a cost of $52,800, which is the par value. June 30 Receives first semiannual payment of interest from PBS bonds. December 31 Receives a check from PBS in payment of principal ($52,800) and the second semiannual payment of interest. View transaction list Journal entry worksheet 1 2 3 Purchases 8.5% bonds (as a held-to-maturity investment) issued by PBS at a cost of $52,800, which is the par value. Date January 01 Note: Enter debits before credits. General Journal *** Debit Credit
How do I journalize the bonds?
Salt Foods purchases fifty $1,000, 5%, 10-year bonds issued by Pretzelmania, Inc., for $54,088 on January 1. The market interest rate for bonds of similar risk and maturity is 4%. Salt Foods receives interest semiannually on June 30 and December 31.1. & 2. Record the necessary entries regarding the bonds. (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 whole number.)
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Entries for bond (held-to-maturity) investments Demopoulos Company acquired $203,400 of Marimar Co., 7% bonds on May 1 at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, Demopoulos Company sold $44,400 of the bonds for 99. Journalize the entries to record the following: If an amount box does not require an entry, leave it blank. a. The initial acquisition of the bonds on May 1. May 1 b. The s Nov. 1 Cash Nov. 1 Interest Receivable Interest Revenue Investments-Marimar Co. Bonds c. The sNotes Receivable lovember 1. d. The accrual of $1,855 interest on December 31.
Rolstone Corp issued $200,000, 8% debenture, 5 Yr bonds on Jan. 1, Interest payment dates are Jan 1 and July 1. The bonds are sold for 217,062 on Jan 1. Market rate is 6%. Prepare journal entries for the following. a. Sale on Jan 1 b. July1 entry Jan 1 entry. Yr 2 c. Oct 1 entry Yr 1 - End of Fiscal Year July 1 entry. Yr 2. Please answer compelete
On January 1, firm issued $500,000 of 15 year, 6 percent bonds payable for $552,325, yielding an effective rate of 5 percent. Interest is payable on June 30 and December 31 each year. The firm records amortization on each interest date.Bond interest expense for the first six months, using effective interest amortization, is: Select one: A. $13,808 B. $14,059 C. $16,587 D. $15,000 PreviousSave AnswersNext
Entries for Investment in Bonds, Interest, and Sale of Bonds Parilo Company acquired $204,000 of Makofske Company, 6% bonds on May 1, 20Y5, at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, 20Y5, Parilo sold $44,400 of the bonds for 96. Journalize the entries to record the following under the cost method: If an amount box does not require an entry, leave it blank. Questions are attached with image Needing answers for questions: B C D
On January 1, Year 1, Price Company issued $291,000 of five-year, 5 percent bonds at 98. Interest is payable annually on December 31. The discount is amortized using the straight-line method. Required Prepare the journal entries to record the bond transactions for Year 1 and Year 2. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 > Record the entry for issuance of bonds. Note: Enter debits before credits. Date General Journal Debit Credit Jan 01 Record entry Clear entry View general journal
On August 1, Year 1, Bee Company purchased $1,500,000 of Ant Company 10-year, 6% bonds, dated July 1, at 100 plus accrued interest. On March 1, Year 2, Bee sold half of the bonds for $782,500 plus accrued interest. Journalize the following transactions: a. Purchase of bonds on August 1, Year 1. b. Receipt of first semiannual interest payment on December 31, Year 1. c. The sale of the bonds on March 1, Year 2. If an amount box does not require an entry, leave it blank.
Franklin Corporation issues $83,000, 10%, 5-year bonds on January 1 for $86,700. Interest is paid semiannually on January 1 and July 1. If Franklin uses the straight-line method of amortization of bond premium, the amount of bond interest expense to be recognized on July 1 is a. $3,690 b. $6,640 c. $3,780 Od. $3,320

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