Maria Miller Inc. has issued three types of debt on January 1, 2025, the start of the company's fiscal year. Click here to view factor tables. (a) (b) (c) Prepare a schedule that identifies the following items for each bond: (1) maturity value, (2) number of interest periods over life of bond, (3) stated rate per each interest period, (4) effective-interest rate per each interest period, (5) payment amount per period, and (6) present value of bonds at date of issue. (Round present value factor calculations to 5 decimal places, e.g. 1.25124. Round stated and effective rate per period to 2 decimal places, e.g. 10.25% and other answers to 0 decimal places, e.g. 58,971.) (1) (2) (3) (4) (5) $11 million, 12-year, 15% unsecured bonds, interest payable quarterly. Bonds were priced to yield 10.00%. $26 million par of 12-year, zero-coupon bonds at a price to yield 10.00% per year. $20 million, 12-year, 8.00% mortgage bonds, interest payable annually to yield 10.00%. (6) Maturity value Number of interest periods Stated rate per period Effective rate per period Payment amount per period Present 1111 $ Unsecured Bonds $ % % $ Zero-Coupon Bonds % % $ $ $ Mortgage Bonds UT % %

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

Subject: accounting 

 

 

Maria Miller Inc. has issued three types of debt on January 1, 2025, the start of the company's fiscal year.
Click here to view factor tables.
(a)
(b)
(c)
Prepare a schedule that identifies the following items for each bond: (1) maturity value, (2) number of interest periods over life of
bond, (3) stated rate per each interest period, (4) effective-interest rate per each interest period, (5) payment amount per period, and
(6) present value of bonds at date of issue. (Round present value factor calculations to 5 decimal places, e.g. 1.25124. Round stated and
effective rate per period to 2 decimal places, eg. 10.25% and other answers to O decimal places, e.g. 58,971.)
(1)
(2)
(3)
(4)
(5)
$11 million, 12-year, 15% unsecured bonds, interest payable quarterly. Bonds were priced to yield 10.00%.
$26 million par of 12-year, zero-coupon bonds at a price to yield 10.00% per year.
$20 million, 12-year, 8.00% mortgage bonds, interest payable annually to yield 10.00%.
(6)
Maturity
value
Number of
interest
periods
Stated rate
per period
Effective
rate per
period
Payment
amount per
period
Present
value
$
$
$
Unsecured
Bonds
%
%
$
$
Zero-Coupon
Bonds
con
%
$
$
$
Mortgage
Bonds
%
%
Transcribed Image Text:Maria Miller Inc. has issued three types of debt on January 1, 2025, the start of the company's fiscal year. Click here to view factor tables. (a) (b) (c) Prepare a schedule that identifies the following items for each bond: (1) maturity value, (2) number of interest periods over life of bond, (3) stated rate per each interest period, (4) effective-interest rate per each interest period, (5) payment amount per period, and (6) present value of bonds at date of issue. (Round present value factor calculations to 5 decimal places, e.g. 1.25124. Round stated and effective rate per period to 2 decimal places, eg. 10.25% and other answers to O decimal places, e.g. 58,971.) (1) (2) (3) (4) (5) $11 million, 12-year, 15% unsecured bonds, interest payable quarterly. Bonds were priced to yield 10.00%. $26 million par of 12-year, zero-coupon bonds at a price to yield 10.00% per year. $20 million, 12-year, 8.00% mortgage bonds, interest payable annually to yield 10.00%. (6) Maturity value Number of interest periods Stated rate per period Effective rate per period Payment amount per period Present value $ $ $ Unsecured Bonds % % $ $ Zero-Coupon Bonds con % $ $ $ Mortgage Bonds % %
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