PR 11-3A Entries for bönds payubiu) The following transactions were completed by Winklevoss Inc., whose fscal yeal L I 20Y1 July 1. Issued $74,000,000 of 20-year, 11% callable bonds dated July 1, 20Y1, at a market (effe receiving cash of $63,532,267. Interest is payable semiannually on December 31 and Jun Dec. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $261,69 the semiannual interest payment. 20Y2 June 30. Paid the semiannual interest on the bonds. The bond discount amortization of $261,69 the semiannual interest payment. Dec. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $261,6 the semiannual interest payment. 20Y3 June 30. Recorded the redemption of the bonds, which were called at 98. The balance in the bon ment of interest and amortization of discount have been recorded. (R after
PR 11-3A Entries for bönds payubiu) The following transactions were completed by Winklevoss Inc., whose fscal yeal L I 20Y1 July 1. Issued $74,000,000 of 20-year, 11% callable bonds dated July 1, 20Y1, at a market (effe receiving cash of $63,532,267. Interest is payable semiannually on December 31 and Jun Dec. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $261,69 the semiannual interest payment. 20Y2 June 30. Paid the semiannual interest on the bonds. The bond discount amortization of $261,69 the semiannual interest payment. Dec. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $261,6 the semiannual interest payment. 20Y3 June 30. Recorded the redemption of the bonds, which were called at 98. The balance in the bon ment of interest and amortization of discount have been recorded. (R after
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:value tables in Appendix A al lhe Ch
PR 11-3A Entries for bonds payable, including bond redemption
The following transactions were completed by Winklevoss Inc., whose fiscal year is the calendar
Obj. 2
V 3. $64,317,346
20Y1
1. Issued $74,000,000 of 20-year, 11% callable bonds dated July 1, 20Y1, at a market (effective) rate of 1a4
receiving cash of $63,532,267. Interest is payable semiannually on December 31 and June 30
Dec. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $261,693 is combined uu
July
SHOW ME HOW
EXCEL TEMPLATE
the semiannual interest payment.
20Y2
June 30. Paid the semiannual interest on the bonds. The bond discount amortization of $261,693 is combined wth
the semiannual interest payment.
Dec. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $261,693 is combined with
the semiannual interest payment.
20Y3
June 30. Recorded the redemption of the bonds, which were called at 98. The balance in the bond discount account is
$9,420,961 after payment of interest and amortization of discount have been recorded. (Record the redemption
only.)
Instructions
1. Journalize the entries to record the transactions. Round all amounts to the nearest dollar.
2. Indicate the amount of the interest expense in (a) 20Y1 and (b) 20Y2.
3. Determine the carrying amount of the bonds as of December 31, 20Y2.
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