THIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos).QUESTION 9On the first day of the fiscal year, a company issues a $828,000, 12%, 10-year bond that pays semiannual interest of $49,680, receiving cash of $869,400.Journalize the entry for the first interest payment and amortiation of premium using the straight-line method and the chart of accounts below.Bonds PayableCashDiscount on Bonds PayableInterest RevenueGain on Redemption of BondsInterest ExpenseInterest PayableLoss on Redemption of BondsPremiun on Bonds PayableEnter your answers into the table below.Key the account names carefully (exactly as shown above) and follow formatting instructions below.DO NOT USE A DECIMAL WITH ZEROES FOR WHOLE DOLLAR AMOUNTS AND USE COMMAS APPROPRIATELY.WHEN THE DEBIT/CREDIT DOES NOT REQUIRE AN ENTRY, LEAVE IT BLANK.AccountDebitCreditTHIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos).Click Save and Submit to save and submit. Click Save All Answers to save all answers.

THIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos). QUESTION 9 On the first day of the fiscal year, a company issues a $828,000, 12%, 10-year bond that pays semiannual interest of $49,680, receiving cash of $869,400. Journalize the entry for the first interest payment and amortiation of premium using the straight-line method and the chart of accounts below. Bonds Payable Cash Discount on Bonds Payable Gain on Redemption of Bonds Interest Expense Interest Payable Interest Revenue Loss on Redemption of Bonds Premiun on Bonds Payable Enter your answers into the table below. Key the account names carefully (exactly as shown above) and follow formatting instructions below. DO NOT USE A DECIMAL WITH ZEROES FOR WHOLE DOLLAR AMOUNTS AND USE COMMAS APPROPRIATELY. WHEN THE DEBIT/CREDIT DOES NOT REQUIRE AN ENTRY, LEAVE IT BLANK. Account Debit Credit THIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos). Click Save and Submit to save and submit. Click Save All Answers to save all answers.

THIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos). QUESTION 9 On the first day of the fiscal year, a company issues a $828,000, 12%, 10-year bond that pays semiannual interest of $49,680, receiving cash of $869,400. Journalize the entry for the first interest payment and amortiation of premium using the straight-line method and the chart of accounts below. Bonds Payable Cash Discount on Bonds Payable Gain on Redemption of Bonds Interest Expense Interest Payable Interest Revenue Loss on Redemption of Bonds Premiun on Bonds Payable Enter your answers into the table below. Key the account names carefully (exactly as shown above) and follow formatting instructions below. DO NOT USE A DECIMAL WITH ZEROES FOR WHOLE DOLLAR AMOUNTS AND USE COMMAS APPROPRIATELY. WHEN THE DEBIT/CREDIT DOES NOT REQUIRE AN ENTRY, LEAVE IT BLANK. Account Debit Credit THIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos). Click Save and Submit to save and submit. Click Save All Answers to save all answers.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

On July 1, a company issues a $1,000,000, 7%, five-year bond that pays semiannual interest of $35,000 ($1,000,000 × 7% × 1/2), receiving cash of $884,171. Required: Journalize the first interest payment and the amortization of the related bond discount/premium using the straight-line method. Round answers to the nearest dollar. Refer to the Chart of Accounts for exact wording of account titles.
On the first day of the fiscal year, a company issues a $784,000, 6%, 10-year bond that pays semiannual interest of $23,520 ($784,000 x 6% x 1/2), receiving cash of $823,200. Journalize the entry for the first interest payment and amortization of premium using the straight-line method. If an amount box does not require an entry, leave it blank. OUD
Instructions On January 1, the first day of the fiscal year, a company issues a $1,800,000, 4% , five-year bond that pays semiannual interest of $36,000 ($1,800,000 x 4% x %), receiving cash of $1,992,170. Journalize the bond issuance. Refer to the Chart of Accounts for exact wording of account titles. Journal 1 2 3 4 DATE DESCRIPTION JOURNAL POST. REF. DEBIT CREDIT
Issuing Bonds at a Discount On the first day of the fiscal year, a company issues a $8,200,000, 9%, 10-year bond that pays semiannual interest of $369,000 ($8,200,000 × 9% × ½), receiving cash of $7,689,049. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Cash fill in the blank fill in the blank Discount on Bonds Payable fill in the blank fill in the blank Bonds Payable fill in the blank fill in the blank
On the first day of the fiscal year, a company issues a $980,000, 8%, 5-year bond that pays semiannual interest of $39,200 ($980,000 × 8% × 1/2), receiving cash of $884,177. Required: Journalize the entry to record the issuance of the bonds. Refer to the Chart of Accounts for exact wording of account titles. Chart Of Accounts CHART OF ACCOUNTS General Ledger ASSETS 110 Cash 111 Petty Cash 112 Accounts Receivable 113 Allowance for Doubtful Accounts 114 Notes Receivable 115 Interest Receivable 121 Merchandise Inventory 122 Supplies 131 Prepaid Insurance 140 Land 151 Building 152 Accumulated Depreciation-Building 153 Equipment 154 Accumulated Depreciation-Equipment LIABILITIES 210 Accounts Payable 221 Salaries Payable 231 Sales Tax Payable 241 Notes Payable 242 Interest Payable 251 Bonds Payable 252 Discount on Bonds Payable 253 Premium on Bonds Payable EQUITY 310…
Salt Foods purchases forty $1,000, 7%, 10-year bonds issued by Pretzelmania, Inc., for $37,282 on January 1. The market interest rate for bonds of similar risk and maturity is 8%. Salt Foods receives interest semiannually on June 30 and December 31.1. & 2. Record the necessary entries regarding the bonds.
On the first day of the fiscal year, a company issues an $994,000, 7%, 5-year bond that pays semiannual interest of $34,790 ($994,000 x 7% x 1/2), receiving cash of $934,400. Journalize the entry for the first interest payment and the amortization of the related bond discount using the straight-line method. If an amount box does not require an entry, leave it blank. Previous
Issuing Bonds at a Discount On the first day of the fiscal year, a company issues a $6,800,000, 8%, 10-year bond that pays semiannual interest of $272,000 ($6,800,000 x 8% x 2), receiving cash of $5,952,570. Journalize the entry to record the issuance of the bonds. If an amount box does not require an entry, leave it blank.
Issuing bonds at a premium On the first day of the fiscal year, a company issues a $3,900,000, 8%, 7-year bond that pays semiannual interest of $156,000 ($3,900,000 x 8% x 12), receiving cash of $4,340,546. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Cash Premium on Bonds Payable Bonds Payable Feedback Check My Work Bonds Payable is always recorded at face value. Any difference in issue price is reflected in a premium or discount account.
Issuing Bonds at a Premium On the first day of the fiscal year, a company issues a $8,400,000, 6%, 8-year bond that pays semiannual interest of $252,000 ($8,400,000x6%x%), receiving cash of $8,945,309. Journalize the bond issuance. If an amount box does not require an entry, leave it blank Check My Work Previous Next
On the first day of the fiscal year, a company issues a $883,000, 10%, 10-year bond that pays semiannual interest of $44,150 ($883,000 x 10% x 1/2), receiving cash of $927,200. Journalize the entry to record the first interest payment and amortization of premium using the straight-line method. If an amount box does not require an entry, leave it blank. - Select - - Select - - Select - - Select - - Select - - Select -
Issuing Bonds at a Discount On the first day of the fiscal year, a company issues a $8,700,000, 9%, 9-year bond that pays semiannual interest of $391,500 ($8,700,000 × 9% × ½), receiving cash of $7,287,000. Journalize the bond issuance. If an amount box does not require an entry, leave it blank.