On September 30, 2021, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of $180 million. The bonds mature on September 30, 2041 (20 years). The market rate of interest for similar bonds was 10%. Interest is paid semiannually on March 31 and September 30. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)Required: Determine the price of the bonds on September 30, 2021. (Enter your answers in whole dollars. Round your final answers to nearest whole dollar amount.)

Q: On January 1, 2020, MNOCompany issued its 9%, P2 million bonds, which mature on January 1, 2030. The…

A:

Q: On March 1, 2024, Baddour, Incorporated, issued 10% bonds, dated January 1, with a face amount of…

A: A liability account called "Bonds Payable" shows up on a business's balance sheet. It shows the…

Q: On Jan. 1, 2020, Eee Company issued 9% bonds in the amount of P 500,000, which mature on Jan. 1,…

A: Formula: Carrying value of bonds payable = Issue price of the bonds + Amortization of bond discount…

Q: On January 1, 2019, X Sports Corporation issued 10% bonds with a face value of $200,000. The bonds…

A: Par value of bonds =$200000Issue price of bonds =$191000Discount on issuance of bonds…

Q: On 3/1/2020, Taft Corporation issues 17-year bonds, dated 1/1/2020, with a par value of $300,000.…

A: Bonds payable is the liability recorded when the company generates cash by issuing the bonds.…

Q: On September 30, 2018, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of…

A: Given information is: On September 30, 2018, the San Fillipo Corporation issued 8% stated rate bonds…

Q: On January 1, 2021, Instaform, Inc., issued 10% bonds with a face amount of $50 million, dated…

A: Bonds Payable: A bond payable is the long-term liability shown in the balance sheet that needs to be…

Q: On January 1, 2020, CAB Co. issued 9% bonds in the amount of P2,500,000, which mature on January 1,…

A: Interest method of amortization: This is a method useful for bonds which are sold at a discount. The…

Q: Universal Foods issued 10% bonds, dated January 1, with a face amount of $170 million on January 1,…

A: Bonds :— It is one of type of securities that pays fixed periodic interest and face value amount at…

Q: On January 1, 2018, Baddour, Inc., issued 10% bonds with a face amount of $160 million. The bonds…

A: Requirement 1:   Compute the amount of liability.

Q: On June 30, 2024, Single Computers issued 8% stated rate bonds with a face amount of $100 million.…

A: Issue price of a bond means the price at which the bond is issued. It can be issued at par, premium…

Q: Bonds with a stated interest rate of 9% and a face value totaling $626,000 were issued for $651,040…

A: BOND  Bond is a Financial Securities which is Generally Issued by the Corporation's, Government…

Q: On January 1, 2019, the JSW Corporation issued 10% bonds with a face value of $100,000. The bonds…

A: Answer - Working Note : The computation of the interest expense is shown below:   The bond interest…

Q: On March 1, 2021, Baddour, Inc., issued 12% bonds, dated January 1, with a face amount of $165…

A: 1. Compute amount of bonds report in its balance sheet as shown below:     Working note:   Compute…

Q: On January 1, 2021, Instaform, Inc., issued 10% bonds with a face amount of $52 million, dated…

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

Q: On January 2, 2020, Ayayai Corporation issued $2,150,000 of 10% bonds at 98 due December 31, 2029.…

A: The binds are issued at a discount when the bond offers a lower contract rate than the market…

Q: Metlock, Inc. issued $282,000, 7%, 15-year bonds on December 31, 2021, for $253,800. Interest is…

A: Total discount on bonds = Face value of bonds - issue value of bonds = 282000-253800 = $28,200

Q: On March 1, 2024, Baddour, Incorporated, issued 10% bonds, dated January 1, with a face amount of…

A: A bond is a fixed-interest bearer financial instrument that is issued by companies for raising…

Q: Sikes Corporation, whose annual accounting period ends on December 31, issued the following bonds:…

A: Bonds are debt instruments issued by organizations to raise funds to meet various requirements. The…

Q: On January 1, 2024, Essence Communications issued $800,000 of its 10-year, 8% bonds for $700,302. •…

A: Bonds are a type of financial instrument that represents a loan made by an investor to a borrower.…

Q: On June 30, 2024, Single Computers issued 8% stated rate bonds with a face amount of $100 million.…

A: Bonds payable is a type of instrument where by an amount is borrowed for a fixed period with fixed…

Q: On January 1, 2021, Instaform, Inc., issued 10% bonds with a face amount of $53 million, dated…

A: The bond is priced at the discounted value of all the future cash flows of the bond at the market…

Q: [The following information applies to the questions displayed below.] Legacy issues $325,000 of 5%,…

A: Bonds are referred to as the liabilities of the company on which a specific percentage of interest…

Q: On January 1, 2021, Universe of Fun issues $900,000, 8% bonds that mature in 10 years. The market…

A: Bonds: This is just like debt for the issue of investors by the company. Bond is dependent on the…

Q: On September 30, 2021, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of…

A: Calculate the present value of the principal amount as shown below:

Q: 000. Intere 1, 2026. Th nounts to P1: rued interest

A: Journal  entries  in the books  of Prancer  Co. for the year 2021 Date 2021 Particular  Post…

Q: On January 1,2019, ABC Corporation issued a 5-year, 12%, 1,000 of the P 5,000 face value bonds with…

A: Carrying value of the bonds as of December 31,2020 = Present value of principal + Present value of…

Q: Ellis Company issues 8.0%, five-year bonds dated January 1, 2021, with a $530,000 par value. The…

A: Bonds payable refers to a type of long-term debt that a company or organization issues to borrow…

Q: Windsor, Inc. has issued three different bonds during 2019. Interest is payable annually on each of…

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

Q: On January 1, 2019, SB Company issued its 10% bonds in the face amount of P10,000,000 that mature on…

A: Solution: Interest expense on July 1 = P9,160,000*12%*6/12 = P549,600 Semiannual interest paid =…

Q: On January 1, 2024, NFB Visual Aids issued $900,000 of its 20-year, 6% bonds. The bonds were priced…

A: Journalizing is one of the most important and basic steps in the accounting cycle. Journalizing is…

Q: On December 31, 2018, Interlink Communications issued 6% stated rate bonds with a face amount of…

A: Interest payment = Face value of bonds x rate of interest x time = $100 million x 6% = $6 million

Q: Unrealized holding gain/(loss) in OCI for year 2014 2. Interest expense for the year ended December…

A: Unrealized holding gain/(loss) is the term used to describe a change in an investment's value that…

Q: On March 1, 2024, Baddour, Incorporated, issued 10% bonds, dated January 1, with a face amount of…

A: The discount or premium on an issued bond is amortized to find the carrying value of the bond…

Q: On January 1, 2021, Concord Corporation issued its 10% bonds in the face amount of $8070000, which…

A: Step 1: Compute the amount of interest expense: Interest expense=$9152978*8%=$732238 Step 2: Compute…

Q: On January 1, 2021, Bradley Recreational Products issued $160,000, 8%, four-year bonds. Interest is…

A: Bonds Bonds are the units of corporate debt issued by the corporate companies and it securitized as…

Q: On June 1, 2019, Vape Inc. issued P12,000,000 of 10% bonds to yield 12% effective rate. Interest is…

A: The carrying value of a bond is the the net amount between the bond's face value plus any…

Q: On September 30, 2016, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of…

A: Determine present value of annuity amount (interest).

Q: Universal Foods issued 10% bonds, dated January 1, with a face amount of $140 million on January 1,…

A: The objective of the question is to determine the price of the bonds at January 1, 2021 and prepare…

Q: On January 1, 2025, Entity D issued $1,000,000 of 7%, 5-year bonds at 98. The bonds pay interest…

A: Bonds Payable - Bonds Payable is a amount borrowed to be repayable at specific interval. It carries…

Q: On January 1, 2023, ACT Company issues 1,000 of its 12%, P 1,000 face value bonds at 112, a price…

A: The underwriting fees of 20,000, and the printing cost of bond certificates of P50,000 here are the…

Q: Requirements 3 a. Determine the issue price of the debt. b. Prepare the amortization table for the…

A: Par Value of bonds issued $750,000Coupon rate p.a.5.00%Effective interest rate p.a.6.00%Period of…

Q: On July 1, 2020, Kwek-kwek Company issued 600 of its 10%, P1,000 bonds at 99 plus accrued interest.…

A: The bonds are issued at premium or discount depending on the market rate of interest of bonds.

Q: On March 1, 2024, Baddour, Incorporated, issued 10% bonds, dated January 1, with a face amount of…

A: Bonds payable are a liability of the issuing company. It is normally recorded as a long-term…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.