the Tace amount of PI,500,000. T hey mature on January 1,2017. The bonds were issued for P1,329,000 to yield 12percent, resulting in bond discount of P171,000. FFF usesthe effective-interest method of amortizing bond discount.Interest is payable July 1 and January 1.For the six months ended June 30, 2007, FFF should reportbond interest expense ofNos. 6-8 pertains to the following:On February 28, 2017, GGG Industries issued 10% bonds,dated January 1, with a face amount of P48 million. Thebonds were priced at P42 million (plus accrued interest) toyield 12%. Interest is paid semiannually on June 30 andDecember 31.Required:What would be the amount(s) related to the bonds GGGwould report in its statement of financial position atOctober 31, 2017?What would be the amount(s) related to the bonds thatGGG would report in its income statement for the yearended October 31, 2017?What would be the amount(s) related to the bonds thatGGG would report in its statement of cash flows for theyear ended October 31, 2017?END OF EGOD

Hi student Since there are multiple questions, we will answer only first question.

he Tace a ount of PT,500,000. They mature on January 1, 2017. The bonds were issued for P1,329,000 to yield 12 percent, resulting in bond discount of P171,000. FFF uses the effective-interest method of amortizing bond discount. Interest is payable July 1 and January 1. For the six months ended June 30, 2007, FFF should report bond interest expense of

he Tace a ount of PT,500,000. They mature on January 1, 2017. The bonds were issued for P1,329,000 to yield 12 percent, resulting in bond discount of P171,000. FFF uses the effective-interest method of amortizing bond discount. Interest is payable July 1 and January 1. For the six months ended June 30, 2007, FFF should report bond interest expense of

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 5PB: Dixon Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1,...

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