Reporting Bonds on the Balance Sheet Yale Corporation issued to Zap Corporation $300,000, 8% (cash interest payable semiannually on June 30 and December 31) 10-year bonds dated and sold on January 1, 2020. Assume that the company uses the effective interest amortization method. If the bonds were sold to yield 9%, show how the bonds and related accounts would be presented on the balance sheet as of June 30, 2020.   Note: Round your answers to the nearest whole dollar. Note: Do not use negative signs with your answers. Note: List accounts in alphabetical order.   Balance Sheet June 30, 2020 Liabilities   Answer Answer Answer Answer Bonds payable, net Answer

Q: Un 1/1/2020, Blue Company issued 5-year, 9% bonds with a par value of $1,000,000 The company…

A: Bond is an instrument which is issued at par, discount or at premium.  When company required the…

Q: On January 1, 2020, Drew Company issued $900,000, 5-year bonds for $828,000. The stated rate of…

A: Annual Cash Payment for interest = Face value of bonds x rate of interest x period = $900,000 x 9% =…

Q: Prepare a bond premium amortization schedule for the first four interest periods. Annual Interest…

A: Lets understand the basics.Discount or premium amortization can be done using,(1) Effective interest…

Q: Pharoah Company issues $2.90 million, 5-year, 7% bonds at 104, with interest payable annually…

A: Given that the bonds has been issued at premium and it has to be amortised on straight line basis.…

Q: Analyzing and journalizing bond transactions On January 1, 2018, Educators Credit Union (ECU) issued…

A: Bond financing is an instrument for borrowing the funds. The borrower has to pay a fix amount of…

Q: owe subject-Accounting On May 1, 2024, crane corp. issued 955,000 of 5-year, 7% bonds at $916,270.…

A: Each periodic payment on bonds is listed in a table called an amortization schedule over the course…

Q: Price Company issued a $700,000, 8%, 10-year bond payable at face value on January 1, 2018 Interest…

A: A bond refers to fixed income instrument that represents a loan made by an investor to a borrower…

Q: Blossom Company issues $3.2 million, 10-year, 9% bonds at 96, with interest payable on December 31.…

A: 1. Date Account Titles and Explanation Debit Credit Jan. 1 Cash ($3,200,000*96/100)…

Q: Concord Corporation issues 10, 10- year, 8%, $1000 bonds dated January 1, 2020, at 98. The journal…

A: Bonds worth $1000 are issued at 98% of face value. This means 2% is a discount. Concord corporation…

Q: company issues $25,000,000, 7.8%, 20-year bonds to yield (market) 8% on January 1, 2020. Interest is…

A: Here the bonds having coupon rate 7.8% are issued to yield at 8%  Thus represents that bonds are…

Q: The following section is taken from Oriole Company's balance sheet at december 31, 2021. Current…

A: for more information ping me, Happy learning.

Q: Recording Bond Entries and Preparing an Amortization Schedule—Effective Interest Method, Premium…

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

Q: On April 1, 2020 , Quicke Mart issued $1,000,000, 9% bonds at par plus accrued interest dated…

A: Bonds are a form of debt taken by the company. Company has to make regular interest payments on…

Q: Pharoah Company issued $380,000 of 6%, 20-year bonds on January 1, 2022, at face value. Interest is…

A: 20- Year 6% Bond =. $380,000  Interest Rate =6%  Interest Payable on January 1.

Q: Recording Bond Entries and Preparing an Amortization Schedule- Effective Interest Method, Discount,…

A: Bonds allow an organization to raise capital and meet capital requirements. Corporations and…

Q: Bonds Issued at a Premium (Effective Interest) Cookie Dough Corporation issued $1,500,000 in 7%,…

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

Q: Kingbird corporation issued  $460,000,8%, 20 year bonds on January  1,2022 for $418,008 this price…

A: Journal entry refers to the classifying and recording of daily transactions initially into books of…

Q: help

A: Bonds are described as those securities which represent the amount of debt lent to the borrower.…

Q: On January 1, 2025, Paxton Planning Services issued $56,000 of 2% bonds that mature in five years.…

A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

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

A: Cash received = 2,100 bonds x $1,000 per bond x 100% = $2,100,000

Q: A company issues $20,000,000, 8%, 20-year bonds to yield (mkt) 6% on January 1, 2020. Interest is…

A: The bonds payable are reported as long-term liabilities. The bonds are issued at premium when market…

Q: Accounting for debt investments On January 1, 2018, the Chaucer’s Restaurant decides to invest in…

A: 1.

Q: X Corporation borrowed money by issuing $1,000,000 of bonds at 102 on January 1, 2022. The bonds pay…

A: DateAccountDebitCreditJanuary 1, 2022Cash ($1,000,000 * 102%)$ 1,020,000            Bonds Payable $…

Q: Please help find issue price of bonds Requirements- Using PV function in excel calculate issue price…

A: calculation of issue price face value of bond -620,000     discount rate 10%…

Q: On January 1, 2020, Marigold Corp. issued $5100000, 10-year, 4% bonds at 102. Interest is payable…

A: When a bond is issued at premium, the amount received excess of fair value should be recorded under…

Q: Recording Bond Entries and Reporting Bonds— Effective Interest, Straight-Line Master Corp. issued…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: Instructions On February 1, 2020, Aggie Corporation sold its investment in Smith Corporation bonds…

A: Whenever business sold out its investments, then investment account is credited and cash account is…

Q: Legacy issues $740,000 of 7.5%, four-year bonds dated January 1, 2021, that pay interest…

A: Journal entries provide as the essential building blocks that provide answers to those and other…

Q: On January 1, 2021, Methodical Manufacturing issued 100 bonds, each with a face value of $1,000, a…

A: Particulars Values Face value of the bond (100*$1,000)  $ 1,00,000.00 Current price of the bond…

Q: On January 1, 2024, Katia Crafts issued 80,000, 6-year bonds with $1,000 face value. External…

A: Cash payment of Interest = Principal x rate x timeAnnual premium amortization = Premium on bonds…

Q: On January 1, 2020, Sheffield Corp. issued $4500000, 10-year, 4% bonds at 102. Interest is payable…

A: The journal entries are prepared to record the transactions on a regular basis. The bonds are issued…

Q: On May 1, 2020 Setup Inc, sold an issue of 5%, 1000 bonds dated January 1, 2020, to yield 5%. The…

A: Bonds are an obligation on the entity. These are issued for raising funds from the market. The…

Q: Carla Vista Enterprises issued 8%, 8-year, $2,950,000 par value bonds that pay interest annually on…

A: The bond refers to the instrument used by companies to raise debt capital from investors. The main…

Q: Yale Corporation issued to Zap Corporation $36,000, 8% (cash interest payable semiannually on July 1…

A: Working: Semiannual interest = Face value of the bonds x rate of interest x no. of months / 12 =…

Q: Kingbird corporation  issued $460,000 ,8% 20 year bonds on January  1 2022 for $418,008. This  price…

A: Discount on Bond = $460,000-$418,008 = $41992 Accrual interest     = $460,000*8% = $36800 Bond…

Q: Allen Media Group issues $2,000,000 of 8%, 10 year bonds dated January 1, 2022, that pay semiannual…

A: Lets understand the basics.Premium or discount on issue of bond can be amortized using,(1) Effective…