On January 1, 2021, PRANCER Company was authorized to issue 12% bonds with a face amount of ₱5,000,000. Interest on bonds is payable semiannually on January 1 and July. Bonds mature on January 1, 2026. The entire issue was sold on February 28, 2021, at 96 including interest. Bond issue cost amounts to ₱180,000. On October 1, 2023, bonds of ₱2,000,000 face amount were retired at 98 plus accrued interest. 7. How much cash was received on February 28, 2021? 8. How much discount or premium was initially recognized? (In the google form, if discount, put a negative sign before the numerical figure.) 9. How much is the interest expense for the year ended December 31, 2021? 10. How much is the carrying value of the bond on December 31, 2021? 11. How much cash was paid on October 1, 2023? 12. How much is the gain or loss on retirement of bonds to be recognized on October 1, 2023? 13. How much is the remaining carrying value of the bonds on December 31, 2023?
On January 1, 2021, PRANCER Company was authorized to issue 12% bonds with a face amount of ₱5,000,000. Interest on bonds is payable semiannually on January 1 and July. Bonds mature on January 1, 2026. The entire issue was sold on February 28, 2021, at 96 including interest. Bond issue cost amounts to ₱180,000. On October 1, 2023, bonds of ₱2,000,000 face amount were retired at 98 plus accrued interest.
7. How much cash was received on February 28, 2021?
8. How much discount or premium was initially recognized? (In the google form, if discount, put a negative sign before the numerical figure.)
9. How much is the interest expense for the year ended December 31, 2021?
10. How much is the carrying
11. How much cash was paid on October 1, 2023?
12. How much is the gain or loss on retirement of bonds to be recognized on October 1, 2023?
13. How much is the remaining carrying value of the bonds on December 31, 2023?
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