Eagle Corporation issued $9,750,000, 7 percent bonds dated April 1, year 1. The market interest rate was 8 percent, with interest paid each March 31. The bonds mature in three years, on March 31, year 4. Eagle's fiscal year ends on December 31. Use Table 8C.1, Table 8C.2. Required: 1. What was the issue price of these bonds? (Round time value factor to 4 decimal places. Round the final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Bond issue price $ 9,498,469 × 2. Compute the interest expense for the period ended December 31, year 1. The company uses the effective-interest method of amortization. (Round time value factor to 4 decimal places. Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Interest expense $ 569,908 × 3. Show how the bonds should be reported on the statement of financial position at December 31, year 1. (Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. EAGLE CORPORATION As of December 31, Year 1 Statement of financial position: Bonds payable 9,556,502 x 4-a. What amount of interest expense will be recorded on March 31, year 2? (Round time value factor to 4 decimal places. Round the final answer to the nearest dollar amount.) × Answer is complete but not entirely correct. Interest expense $ 191,222 x Eagle Corporation issued $9,750,000, 7 percent bonds dated April 1, year 1. The market interest rate was 8 percent, with interest paid each March 31. The bonds mature in three years, on March 31, year 4. Eagle's fiscal year ends on December 31. Use Table 8C.1, Table 8C.2. Required: 1. What was the issue price of these bonds? (Round time value factor to 4 decimal places. Round the final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Bond issue price $ 9,502,784 x 2. Compute the interest expense for the period ended December 31, year 1. The company uses the effective-interest method of amortization. (Round time value factor to 4 decimal places. Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Interest expense $ 570,167 x 3. Show how the bonds should be reported on the statement of financial position at December 31, year 1. (Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. EAGLE CORPORATION As of December 31, Year 1 Statement of financial position: Bonds payable 9,561,076 x 4-a. What amount of interest expense will be recorded on March 31, year 2? (Round time value factor to 4 decimal places. Round the final answer to the nearest dollar amount.) Answer is complete but not entirely correct. Interest expense $ 191,130 x

Eagle Corporation issued $9,750,000, 7 percent bonds dated April 1, year 1. The market interest rate was 8 percent, with interest paid each March 31. The bonds mature in three years, on March 31, year 4. Eagle's fiscal year ends on December 31. Use Table 8C.1, Table 8C.2. Required: 1. What was the issue price of these bonds? (Round time value factor to 4 decimal places. Round the final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Bond issue price $ 9,498,469 × 2. Compute the interest expense for the period ended December 31, year 1. The company uses the effective-interest method of amortization. (Round time value factor to 4 decimal places. Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Interest expense $ 569,908 × 3. Show how the bonds should be reported on the statement of financial position at December 31, year 1. (Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. EAGLE CORPORATION As of December 31, Year 1 Statement of financial position: Bonds payable 9,556,502 x 4-a. What amount of interest expense will be recorded on March 31, year 2? (Round time value factor to 4 decimal places. Round the final answer to the nearest dollar amount.) × Answer is complete but not entirely correct. Interest expense $ 191,222 x Eagle Corporation issued $9,750,000, 7 percent bonds dated April 1, year 1. The market interest rate was 8 percent, with interest paid each March 31. The bonds mature in three years, on March 31, year 4. Eagle's fiscal year ends on December 31. Use Table 8C.1, Table 8C.2. Required: 1. What was the issue price of these bonds? (Round time value factor to 4 decimal places. Round the final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Bond issue price $ 9,502,784 x 2. Compute the interest expense for the period ended December 31, year 1. The company uses the effective-interest method of amortization. (Round time value factor to 4 decimal places. Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. Interest expense $ 570,167 x 3. Show how the bonds should be reported on the statement of financial position at December 31, year 1. (Round intermediate and final answer to the nearest whole dollar.) × Answer is complete but not entirely correct. EAGLE CORPORATION As of December 31, Year 1 Statement of financial position: Bonds payable 9,561,076 x 4-a. What amount of interest expense will be recorded on March 31, year 2? (Round time value factor to 4 decimal places. Round the final answer to the nearest dollar amount.) Answer is complete but not entirely correct. Interest expense $ 191,130 x

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 2PB: Charleston Inc. issued $200,000 bonds with a stated rate of 10%. The bonds had a 10-year maturity...

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