On August 1, Year 1, Ant Company sold Bee Company $1,500,000 of 10-year, 6% bonds, dated July 1 at 100 plus accrued interest. On March 1, Year 2, Bee sold half of the bonds for $782,500 plus accrued interest.  Present entries to record the following transactions: Bee Company: Purchase of bonds on August 1, Year 1. Receipt of first semiannual interest amount on December 31, Year 1. The sale of the bonds on March 1, Year 2.

Q: On January 1 of the current year, Barton Corporation issued 8% bonds with a face value of $91,000.…

A: When bonds are issued at a price less than the face value, then it means bonds are issued at a…

Q: Use this information for Pierce Company to answer the question that follow. On May 1, Pierce Company…

A: Concepts and reason Financial instrument: Monetary value of any document is called as financial…

Q: Trog Industries pays and records the semiannual interest on its $520,000, 10-year, 6% bonds…

A: Here in this question, we are required to make journal entry for interest payment and discount…

Q: jan 1 a co. issued and sold a 408,000, 9%, 10-year bond payable, and received proceeds of 403,000.…

A: Discount on  bonds to be amortized over period of bond

Q: Entries for TS: Effective Interest Method On July 1 of Year 1, West Company purchased for cash, 8,…

A: The bonds can be purchased. It offers periodic interest payments made either annually or…

Q: On January 1, Year 1, Hanover Corporation issued bonds with a $56,500 face value, a stated rate of…

A: Bonds Payable: Bonds Payable is an long term debt issued by the government and company's to raised…

Q: Gonzalez Company acquired $183,600 of Walker Co., 4% bonds on May 1 at their face amount. Interest…

A: The journal entries are prepared to keep the record of day to day transactions of the business.

Q: The Levi Company issued $80,000 of 6% bonds on January 1 of the current year at face value. The…

A: Lets understand the basics. When bond is issued at face value then for calculating interest expense,…

Q: The Levi Company issued $96,000 of 6% bonds on January 1 of the current year at face value. The…

A: Interest expense refers to the costs incurred in respect to the loans, bonds and other debts…

Q: Lakeshore Gelato issued $1,200,000 of 7% bonds at 99 on January 2, Year 1. Interest is paid…

A: Answer:- Bond is an instrument that carries fixed coupon payment with it. These are issued to those…

Q: Moab Corporation sells $600,000 of 7%, 20-year bonds for 98 on January 1. Interest is paid on…

A: Issue value = Face value of bonds x Issue price /100 = $600000 x 98/100 = $588,000

Q: January 1 of the current year, Barton Corporation issued 7% bonds with a face value of $79,000. The…

A: Amortization is used to reflect a more accurate picture of financial performance and position over…

Q: Journalize entries to record the following in Year 1 (refer to the Chart of Accounts for exact…

A: Investment in Bond's :—  These are the investment which gives a fixed rate of interest to their…

Q: On July 1 of Year 1, West Company purchased for cash, eight $10,000 bonds of North Corporation to…

A: The investment in be made in bonds. The bonds make periodic interest payments and the principal is…

Q: On September 30, Jose’s Jalapenos Inc., issued $1,000,000 of 10-year 9% bonds sated September 30,…

A: Journal entries are prepared to record the financial and non financial transactions of the business.

Q: Doyle Company issued $390,000 of 10-year, 8 percent bonds on January 1, Year 2. The bonds were…

A: Financial Statements:Financial statements consist of income statement,balance sheetand cash flow…

Q: Rekya Mart Inc. is a general merchandise retail company that began operations on January 1, Year 1.…

A: A bond is a fixed pay instrument issued to represents to an advance made by a financial specialist…

Q: b. Record the entry for the purchase of the bonds by West Company on July 1. Date Account Name…

A:

Q: A company paid $600,000 for 1-year, 10% bonds with a par value of $600,000 on July 1. The bonds pay…

A: A record is typically kept in the ledger accounts, but it can also be kept in a specific account,…

Q: Levi Company issued $70,000 of 10% bonds on January 1 of the current year at face value. The bonds…

A: A borrower's interest expenditure is the cost that he or she must pay to use borrowed cash. Bonds,…

Q: On June 30, Jamison Company issued $2,500,000 of 10-year, 9% bonds, dated June 30, for $2,580,000.…

A: Given: Value of the bond = $ 2,500,000 Bond rate = 9 % Price of the bond = $ 2,580,000

Q: Wildhorse Corporation had these transactions pertaining to debt investments: Jan. 1   Purchased 96…

A: Definition: Journal entry: Journal entry is a set of economic events which can be measured in…

Q: ovide Journal entries necessary to record Topsails investment in Charlie companys bonds from January…

A: Step 1 Journal is the part of book keeping.

Q: Rekya Mart Inc. is a general merchandise retail company that began operations on January 1, Year 1.…

A: Journal entry is the primary entry that records the financial transactions initially.

Q: Doyle Company issued $390,000 of 10-year, 8 percent bonds on January 1, Year 2. The bonds were…

A: 1. Income Statement2. Balance Sheet3. Statement of Cash FlowThe first statement shows the income…

Q: The following information relates to the debt investments of Concord Inc. during a recent year: 1.…

A: At the time of purchase of bonds at face value plus interest rate, the cash is deducted from the…

Q: During two consecutive years, Antlers company, Inc., completed the following transactions: Year 1…

A: Prepare the journal entries for Year 1. Note: Face value per bond is assumed $100, so number of…

Q: January 1, Year 1, Twain Corporation sold $620,000 of its own 5 percent, 10-year bonds. Interest is…

A: Bond is financial instrument which is used to raise funds for financial obligations. It can be…

Q: Doyle Company issued $235,000 of 10-year, 6 percent bonds on January 1, Year 1. The bonds were…

A: Financial statements include the preparation of balance sheet that reflects the financial position…

Q: On January 1, Year 1, Gibson Corporation purchased bonds issued by Williamson Company. These bonds…

A: The objective of the question is to calculate the interest revenue that Gibson Corporation should…

Q: Franklin Corporation issues $83,000, 10%, 5-year bonds on January 1 for $86,700. Interest is paid…

A: Amortization expense is     ($86700 - $83000) / 10     = $370

Q: On January 1, $853,000, 5-year, 10% bonds were issued for $827,410. Interest is paid semiannually on…

A: The bonds are issued at discount when market rate is higher than the coupon rate of bonds payable.…

Q: Journalize the purchase and the receipt of interest. Assume no interest has been accrued. (Credit…

A: Accrued interest refers to the interest that has been earned on an investment or loan but has not…

Q: Soap Company issued $200,000 of 8%, 5-year bonds on January 1, 20X6. The discount on issuance was…

A: A bond is issued by the company for raising finance for the business working. It is considered a…

Q: Ruben Company purchased $100,000 of Evans Company bonds at 100 plus $1,500 in accrued interest. The…

A: As the company is purchasing both bonds and their accrued interest. So both should be debited and…

Q: On January 1 of the current year, a company paid $200,000 cash to purchase 10%, 10-year bonds, with…

A: Journal entry shows the recording of transactions during an accounting year and every transaction…

Q: How do I journalize the bonds?

A:

Q: XYZ Corporation issued $20,000,000 of 5 year, 9% bonds on April 1 of the current year at face value,…

A: Basically bonds are issued to raise money from investors to fulfill the capital requirements of the…

Q: On January 1, Jules Company purchased for cash, $50.000 bonds (10, $5,000 bonds) of Android…

A: When a bond is purchased at a premium then, the interest income is less than the stated interest as…

Q: Zee Company sold an issue of $500,000, 9%, 10-year bonds for $468,845 on April 1. The interest is…

A: The discount on bonds needs to be credited at the end of the period. The entry would be to debit…

Q: Salt Foods purchases fifty $1,000, 5%, 10-year bonds issued by Pretzelmania, Inc., for $54,088 on…

A: As it is semi annual bond interest is paid twice in a year  Bond is issued at a premium of $ 4088