Qq.10. (b)Prepare a bond amortization schedule up to and including January 1, 2028, using the effective-interest method. (Round presentvalue factor to 5 decimal places, eg. 1.24356 and final answers to 0 decimal places, eg. 38,548.)Date1/1/241/1/251/1/261/1/271/1/28$CashPaid$InterestExpensePremiumAmortization Pina Co. is building a new hockey arena at a cost of $2,680,000. It received a downpayment of $500,000 from local businesses tosupport the project, and now needs to borrow $2,180,000 to complete the project. It therefore decides to issue$2,180,000 of 10.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. Thebonds yield 9%.Click here to view factor table.(a)Your answer is correct.Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5decimal places, eg 125124 and the final answer to O decimal places, eg. 58,971. If no entry is required, select "No Entry" for the accounttitles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.List all debit entries before credit entries.)Date Account Titles and ExplanationJanuary1,2024CashPremium on Bonds PayableBonds PayableeTextbook and MediaList of AccountsDebit2319904Credit1399042180000Attempts: 1 of 5 used

Bond is an investment security which can be issued by the large organization to raise the fund.…

Pina Co. is building a new hockey arena at a cost of $2,680,000. It received a downpayment of $500,000 from local businesses to support the project, and now needs to borrow $2,180,000 to complete the project. It therefore decides to issue $2,180,000 of 10.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 99%.

Pina Co. is building a new hockey arena at a cost of $2,680,000. It received a downpayment of $500,000 from local businesses to support the project, and now needs to borrow $2,180,000 to complete the project. It therefore decides to issue $2,180,000 of 10.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 99%.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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