On May 1, 2020, Forest Company issued 3,000 $1,000 bonds at 102. Each bond was issued with one detachable stock warrant. Shortly after issuance the bonds were selling at 98 and the warrants had a fair value of $30. Prepare the journal entry to record the issuance of the bonds and warrants.

Q: On January 1st, 2020, Clem Company issued $300,000 of 10-year, 6% bonds on January 1, 2018. The…

A: Journal entries refers to the process of systematic documentation of the financial transactions of a…

Q: Ivanhoe Company issued $680,000 of 5-year, 8% bonds at 96 on January 1, 2022. The bonds pay interest…

A: Bonds Payable -Bonds are the notes issued by the payer to the collector. It is a promissory note…

Q: On October 1, 2021, Monty Corp. issued $828,000, 7%, 10-year bonds at face value. The bonds were…

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

Q: Price Company issues $400,000, 20-year, 7% bonds at 101. Prepare the journal entry to record the…

A: Bonds payable are one of the sources of finance and are shown as liability. If the interest rate is…

Q: On July 1, 2020, Tealight Company issued 2,000 $ 1,000 bonds at 103. Each bond was issued with one…

A: The process of recording financial activity for the first time in the books of accounts is known as…

Q: On October 1, 2021, Pronghorn Corp. issued $864,000, 8%, 10-year bonds at face value. The bonds were…

A: Bonds are issued at a face value of $864,000.

Q: issued $630,000, 9%, 5-year bonds at face value.

A: Journal entries refers to the act of making transactions in the form of either economic or…

Q: On Jan. 1, Year 1, Foxcroft Inc. issued 100 bonds with a face value of $910 for $94,800. The bonds…

A: Bonds payable (at par) = 100 bonds * $910= $ 91000 Bond issued value= $ 94800 Premium on bond issue=…

Q: Crane Company issued $230,000 of 8%, 20-year bonds on January 1, 2022, at face value. Interest is…

A: Definition:   Bonds: Bonds are a kind of interest-bearing notes payable, usually issued by…

Q: Nabil Company issued $1,500,000 of bonds on January 1, 2020.   Instructions   Prepare the journal…

A: The word redemption seems to have various purposes in the financial and business world, depending on…

Q: 2. Swisher Company issued $2,000,000 of bonds on January 1, 2020. Instructions a. Prepare the…

A: Bonds payable: It is a long term liability to the organization issuing it. It is issued to raise…

Q: On January 1, 2018, Fort Industrial Corp. issued bonds with a face value of $1,000,000. The bonds…

A: Bonds are the instrument acknowledging debt due from one party to another party on specified future…

Q: Cucumber Electric sold $3,300,00, 8%, 10-year bonds on January 1, 2022. The bonds were dated January…

A: Under straight line method, the premium or discount is amortized with equal amounts. The bonds are…

Q: prepare the journal entry to record the sale of these bonds on January 1, 2022. Crane Company issues…

A: >Bonds Payable are the source of finance for the companies.>The bondholders are entitled for a…

Q: Randle Inc. issues $300,000, 10-year, 8% bonds at 98. Prepare the journal entry to record the sale…

A: Bonds are considered a financial instrument used to raise finance for the organization. It is also…

Q: payment of a call premium of $10,000. The bonds D,000. We call these bonds prior to maturity on…

A: These are the accounting transactions that are having a monetary impact on the financial statement…

Q: On Jan. 1, Year 1, Foxcroft Inc. issued 100 bonds with a face value of $1,000 each for $104,000. The…

A: Journal entries are passed following the golden rules of accounting  Debit all assets and expenses…

Q: Pharoah Company issues $280,000, 20-year, 7% bonds at 102. Prepare the journal entry to record the…

A: Bonds are considered a financial instrument used to raise finance for the organization. It is also…

Q: On August 1, 2022, Martinez Corp. issued $489,600, 6%, 10-year bonds at face value. Interest is…

A: When the bonds are issued then cash will receive so cash account would be debited and bond payable…

Q: Blossom Company issues $360,000, 20-year, 10% bonds at 101. Prepare the journal entry to record the…

A: Bonds is a debt market instruments. It is promise to repay the principal along with principal.Issue…

Q: On January 1, Pina Inc. issued $101050000, 9% bonds at 103. The journal entry to record the issuance…

A: JOURNAL ENTRIESJournal Entry is the First stage of Accounting Process. Journal Entry is the Process…

Q: Hawar Company issued $400,000 of bonds on January 1, 2020. Required: Prepare the journal entry to…

A: Journal entry - It refers to the process where the business transactions are recorded in the books…

Q: Pharoah Company issued $500,000 of bonds on January 1, 2020. (a) Prepare the journal entry to record…

A: Journal entries serve as the primary building blocks for financial records. Journal entries include…

Q: Oriole Inc. issues $380,000, 10-year, 8% bonds at 97. Prepare the journal entry to record the sale…

A: Cash received from sale of bond = $380,000 x 97% = 368,600

Q: On May 1, 2020, Judice Company issued 400 $1,000 bonds at 104. Each bond was issued with two…

A: Bonds Payable: Bonds payable are referred to long-term debts of the business, issued to various…

Q: Kingbird, Inc. issued $430,000 of 5-year, 7% bonds at 97 on January 1, 2020. The bonds pay interest…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: Crane Corporation issued 2,100, 9%, 5-year, $1,000 bonds dated January 1, 2020, at 100. Interest is…

A: Introduction: Journal: Recording of a business transactions in a chronological order. First step in…

Q: Cullumber Company issued $650,000 of 5-year, 9% bonds at 96 on January 1, 2022. The bonds pay…

A: (1) Debit what comes in, Credit what goes out.(2) Debit all expenses and losses, Credit all incomes…

Q: Golden Inc. issues $4,000,000, 5-year, 10% bonds at 102, with interest payable annually on January…

A: Bonds are instrument issued by company acknowledging the debt raised by company . It is a liability…

Q: Oriole Company issued $510,000 of bonds on January 1, 2020. (a) Prepare the journal entry to record…

A: Bonds payable is one of important source of finance being used in business. There can be long term…

Q: On Jan. 1, Year 1, Foxcroft Inc. issued 110 bonds with a face value of $990 for $112,200. The bonds…

A: Interest is paid to the bondholders on the basis of coupon rate mentioned on the bond document…