Sun City issues $47 million of bonds on January 1, 2021 that pay interest semiannually on June 30 and December 31. A portion of the bond amortization schedule appears below: Date Cash Paid Interest Expense Decrease in Carrying Value Carrying Value   01/01/2021       $51,324,372   06/30/2021 $2,350,000 $2,309,597 $40,403 51,283,969   12/31/2021 2,350,000 2,307,779 42,221 51,241,748   1. Were the bonds issued at face amount, a discount, or a premium? multiple choice Discount Premium Face amount 2. What is the original issue price of the bonds? Original price     3. What is the face amount of the bonds?       Face amount   4. What is the stated annual interest rate? (Hint: Be sure to provide the annual rate rather than the six-month rate.)     Stated annual interest rate   %   5. What is the market annual interest rate? (Hint: Be sure to provide the annual rate rather than the six-month rate.)       Market annual interest rate   % 6. What is the total cash paid for interest assuming the bonds mature in 20 years?     Interest paid

Q: DeKay Dental Supplies issued $10,000 of 20-year bonds on January 1, 2021. The bonds pay interest…

A: The bonds payable are the financial instruments for the business which are issued to raise money…

Q: On January 1, 2021, Splash City issues $360,000 of 7% bonds, due in 10 years, with interest payable…

A: Semiannual interest payment = Face value of bonds x rate of interest x no. of months/12 = $360000 x…

Q: Temptation Vacations issues $58 million in bonds on January 1, 2021, that pay interest semiannually…

A: Original issue price of the bonds = Carrying Value of the bonds on January 1, 2021

Q: Mellilo Corporation issued $4.4 million of 20-year, 9.5 percent bonds on July 1, 2021, at 98.…

A: Journal entry is the first stage of accounting process. Journal entry used to record business…

Q: On January 1, 2021, Splash City issues $370,000 of 9% bonds, due in 20 years, with interest payable…

A: A BOND ISSUE IS TYPE OF DEBT FORM OF FINANCING ON WHICH INTEREST IS PAID ON FIXED RATE OF THE FACE…

Q: Temptation Vacations issues $58 million in bonds on January 1, 2021, that pay interest semiannually…

A: The stated annual interest rate, often known as SAR, is the return on an investment (ROI) presented…

Q: On January 1, 2025. Pharoah issued $870,000 of 9% serial bonds at par. Semiannual interest is…

A: Journal Entries are the recording of the transaction that arises in the real world in the books of…

Q: The entity purchased 6,000,000 12% bonds on January 1,2021. The interest is payable annually. The…

A: The carrying value of a bond is computed by adding an unamortized premium or subtracting the…

Q: The total interest expense over the 5-year life of the bonds is $100,000. How will the issuance of…

A: Cash Flow Statement has 3 sections :1. Cash flow from Operating activities2. Cash flow from…

Q: Cash Effective Decrease in Outstanding Date interest interest balance balance 1/1/2021 $ 207,020…

A: Formula: Effective Int rate = Interest / Outstanding balance x 100

Q: Required information [The following information applies to the questions displayed below.] Legacy…

A: The bonds are issued at par, premium or discount on the basis of market rate of bonds payable. If…

Q: E-Tech Initiatives Limited plans to issue $450,000, 10-year, 5 percent bonds. Interest is payable…

A: please like the answer your response matters  Long term Liabilities:   Bonds Payable $450,000…

Q: On January 1, 2021, Tennessee Harvester Corporation issued debenture bonds that pay interest…

A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…

Q: The entity purchased 6,000,000 12% bonds on January 1,2021. The interest is payable annually. The…

A: The bond is purchased in order to earn a regular fixed interest with low risk. Bonds are issued by…

Q: Nos. 10-16 pertains to the following: Manabo Company issued ten thousand P1,000 bonds on January 1,…

A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

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: 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: Required information [The following information applies to the questions displayed below.] On…

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

Q: Required information [The following information applies to the questions displayed below.) On…

A: The amortization schedule is prepared to record the interest expense and interest payment for the…

Q: Saved Help Save & E: On January 1, 2021, Tennessee Harvester Corporation issued debenture bonds that…

A: Bonds are the liability of the issuer of such bond. The issue of the bond raises funds through bind…

Q: Discount-Mart issues $16 milion in bonds on January 1, 2021 The bonds have a nine-year term and pay…

A: The interest expense is recorded in the income statement and deducted from the revenues. The net…

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 January 1, 2021, Splash City issues $450,000 of 7% bonds, due in 10 years, with interest payable…

A: Solution;- Preparation of amortization schedules as follows:-

Q: A corporation issues $17 million in bonds on January 1, 2024. The bonds have a seven-year term and…

A: The bond amortization schedule is prepared to pay the periodic interest payment along with the…

Q: The City of Crane issued 300 bonds at their face value of $4,000 each plus accrued interest on June…

A: Bonds are the financial securities which are issued to raise the funds by the large organizations.…

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: ! Required information [The following information applies to the questions displayed below.]…

A: Bonds are the securities which are issued by the entity for the purpose of raising the funds from…

Q: Hillside issues $4,000,000 of 6%, 15-year bonds dated January 1, 2019, that pay interest…

A: The question is based on the concept of the issue of securities. As per Bartleby guidelines we are…

Q: Required: Assuming the market interest rate on the issue date is 9%, the bonds will issue at…

A: Date Particulars Debit Credit Jan 1, 2021 Cash Account                                 Dr. $370000…

Q: E-Tech Initiatives Limited plans to issue $400,000, 10-year, 4 percent bonds. Interest is payable…

A: Carrying value is an accounting measure of value in which the value of an asset or company is based…

Q: On June 30, 2021, Moran Corporation issued $13.5 million of its 6% bonds for $12.1 million. The…

A:

Q: Required: 1. Using an amortization schedule, show that the bonds have a carrying value of $369,707…

A: A bond is issued by the companies to raise funds for their business. The bondholder receives…

Q: emptation Vacations issues $58 million in bonds on January 1, 2021, that pay interest semiannually…

A: Face value of bond is the amount at which the interest is paid over the life of bond.

Q: E-Tech Initiatives Limited plans to issue $550,000, 10-year, 3 percent bonds. Interest is payable…

A: The bonds have a face value of $500,000 and are issued at 95% of the face value.Issue Price = Face…

Q: On the first day of the fiscal year, a company issues a $4,200,000, 10%, five-year bond that pays…

A: Bonds are issued by the company for raising finance. It can be issued at a discount or at a premium.…

Q: E-Tech Initiatives Limited plans to issue $400,000, 10-year, 4 percent bonds. Interest is payable…

A: Carrying value is an accounting measure of value in which the value of an asset or company is based…

Q: Solar Energy Inc. issued a $915,000, 7.0%, five-year bond on October 1, 2023. Interest is paid…

A: A journal entry is a formal accounting record that documents a financial transaction by recording…

Q: On January 1, 2021, Tennessee Harvester Corporation issued debenture bonds that pay Interest…

A: Bond :— It is one of the source of capital that pays periodic interest and principal amount at the…

Q: Crane Company issues $5040000, 7%, 5-year bonds dated January 1, 2020 on January 1, 2020. The bonds…

A: Proceeds from bond is the Present Value of the Bond. Present value of Bond is the present value of…

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

A: The total interest paid on a company's payable bonds over the course of a reporting period is known…

Q: Hillside issues $1,900,000 of 5%, 15-year bonds dated January 1, 2019, that pay interest…

A: Face value of bond = $ 1,900,000                             Issue price of bond = $ 1,641,812…

Q: On October 31, 2020, the Village of Lexington issued $1,000,000 of 3% general obligation serial…

A: When a bond pays interest semiannually, it means that the interest is paid in two equal installments…