Ivanhoe Desalination Ltd. needed to raise $165,000,000 of additional capital to finance the design, development, and construction of its water desalination facility. Ivanhoe decided to issue bonds that pay interest of $2,475,000 on each of March 31 and September 30 and that will reach maturity on September 30, 2037. The bonds were issued at 93.2 on October 1, 2024, for $153,780,000, which represented a yield of 3.66%.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Note:-

  • Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
  • Answer completely.
  • You will get up vote for sure.
  • if you give handwritten solution I will down vote
Ivanhoe Desalination Ltd. needed to raise $165,000,000 of additional capital to finance the design, development, and construction of
its water desalination facility. Ivanhoe decided to issue bonds that pay interest of $2,475,000 on each of March 31 and September 30
and that will reach maturity on September 30, 2037. The bonds were issued at 93.2 on October 1, 2024, for $153,780,000, which
represented a yield of 3.66%.
Transcribed Image Text:Ivanhoe Desalination Ltd. needed to raise $165,000,000 of additional capital to finance the design, development, and construction of its water desalination facility. Ivanhoe decided to issue bonds that pay interest of $2,475,000 on each of March 31 and September 30 and that will reach maturity on September 30, 2037. The bonds were issued at 93.2 on October 1, 2024, for $153,780,000, which represented a yield of 3.66%.
Assuming Ivanhoe Desalination has a year end of December 31, what amount will be reported on the statement of financial
position at December 31, 2024, related to these bonds? (Round answer to 0 decimal places, e.g. 125.)
Notes payable $
95,700,000
Transcribed Image Text:Assuming Ivanhoe Desalination has a year end of December 31, what amount will be reported on the statement of financial position at December 31, 2024, related to these bonds? (Round answer to 0 decimal places, e.g. 125.) Notes payable $ 95,700,000
Expert Solution
steps

Step by step

Solved in 3 steps with 5 images

Blurred answer
Knowledge Booster
Segment Reporting
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education