Denzel Corporation is planning to issue bonds with a face value of $790,000 and a coupon rate of 7.5 percent. The bonds mature in 6 years and pay interest semiannually every June 30 and December 31. All of the bonds were sold on January 1 of this year. Denzel uses the effective-interest amortization method and does not use a discount account. Assume an annual market rate of interest of 8.5 percent. (EV of $1. PV of $1. FVA of $1. and PVA of $1) Note: Use appropriate factor(s) from the tables provided. 3. What bond payable amount will Denzel report on its June 30 balance sheet? Note: Round your intermediate calculations and final answers to whole dollars.
Denzel Corporation is planning to issue bonds with a face value of $790,000 and a coupon rate of 7.5 percent. The bonds mature in 6 years and pay interest semiannually every June 30 and December 31. All of the bonds were sold on January 1 of this year. Denzel uses the effective-interest amortization method and does not use a discount account. Assume an annual market rate of interest of 8.5 percent. (EV of $1. PV of $1. FVA of $1. and PVA of $1) Note: Use appropriate factor(s) from the tables provided. 3. What bond payable amount will Denzel report on its June 30 balance sheet? Note: Round your intermediate calculations and final answers to whole dollars.
Chapter13: Long-term Liabilities
Section: Chapter Questions
Problem 3EA: Krystian Inc. issued 10-year bonds with a face value of $100,000 and a stated rate of 4% when the...
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Kk.308.
![Denzel Corporation is planning to issue bonds with a face value of $790,000 and a coupon rate of 7.5 percent. The bonds
mature in 6 years and pay interest semiannually every June 30 and December 31. All of the bonds were sold on January 1
of this year. Denzel uses the effective-interest amortization method and does not use a discount account. Assume an
annual market rate of interest of 8.5 percent. (FV of $1. PV of $1. EVA of $1. and PVA of $1)
Note: Use appropriate factor(s) from the tables provided.
3. What bond payable amount will Denzel report on its June 30 balance sheet?
Note: Round your intermediate calculations and final answers to whole dollars.
Long-term liabilities
Bonds payable
DENZEL CORPORATION
Balance Sheet (Partial)
At June 30
$
0](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ff7373726-0d35-46ca-aa27-97bcf9126f3a%2F8e1e0f4c-18bd-4c8a-9d50-300a7dfe9842%2Fto8vadk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Denzel Corporation is planning to issue bonds with a face value of $790,000 and a coupon rate of 7.5 percent. The bonds
mature in 6 years and pay interest semiannually every June 30 and December 31. All of the bonds were sold on January 1
of this year. Denzel uses the effective-interest amortization method and does not use a discount account. Assume an
annual market rate of interest of 8.5 percent. (FV of $1. PV of $1. EVA of $1. and PVA of $1)
Note: Use appropriate factor(s) from the tables provided.
3. What bond payable amount will Denzel report on its June 30 balance sheet?
Note: Round your intermediate calculations and final answers to whole dollars.
Long-term liabilities
Bonds payable
DENZEL CORPORATION
Balance Sheet (Partial)
At June 30
$
0
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