Triple V Corporation was authorized to issue P10,000,000 face value, 10%, 10 year bonds on January 1, 20X5. Interest on these bonds are payable semi-annually on July 1 and January 1 of each year. P7,000,000 face value bonds were sold on April 1, 20X5 at 106. The corporation amortizes premium only at the end of the fiscal year, using the straight-line method. On April 1, 20x8 P4,000,000 face value bonds were purchased and retired at 99 plus accrued interest. Required: 1. Give all the necessary journal entries for the year 20X5-20X6 including adjustments relating to the bond issuance. Use memorandum approach. Give all the necessary journal entries for the year 20X8 including adjustments relating to the retirement of the bonds.

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A: The objective of the question is to determine the price at which the bonds were issued and to…

Q: Cheyenne, Inc. had outstanding $6,420,000 of 11% bonds (interest payable July 31 and January 31) due…

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Q: Triple V Corporation was authorized to issue P10,000,000 face value, 10%, 10 year bonds on January…

A: SOLUTION- BONDS ARE INVESTMENT SECURITIES WHERE IN INVESTOR LENDS MONEY TO A COMPANY OR A GOVERNMENT…

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Q: On July 1, 2020, West Company purchased for cash, three $10,000 bonds of North Corporation at a…

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A: Bonds payable refers to a type of long-term debt that a company or organization issues to borrow…

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A: "Since you have asked multiple question we will solve the first three sub part question for you.  If…

Q: On July 1, 2024, Teal Mountain Inc., a public company, purchased $550.000 of Indigo Corp. 10-year,…

A: Bonds refer to a type of long-term debt that a company or organization issues to borrow money from…

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A:

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A: The bonds are the financial instruments that are used to raise money from the market or investors.

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A: Journal entries refer to the recording of financial transactions in the debit and credit format that…

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A: SOLUTION- Semiannual Amortization Amount= 904000 * 10% * 6/12= 45200

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A: A journal entry is being used to record a business arrangement in a corporation's accounting…

Q: Cupola Fan Corporation issued 10%, $600,000, 10-year bonds for $570000 on June 30, 2024. Debt issue…

A: Bonds : Bonds are source of finance from Public.There are various types of bonds issued to…

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A: The investment in be made in bonds. The bonds make periodic interest payments and the principal is…

Q: Required: 1-a. Determine the price of the bonds at January 1, 2024. 1-b to 4. Prepare the necessary…

A: Issue price$650,000Interest rate10%Market Interest rate12%Interest per period…

Q: b. Record the entry for the purchase of the bonds by West Company on July 1. Date Account Name…

A:

Q: On July 1, 2020, West Company purchased for cash, twelve $10,000 bonds of North Corporation at a…

A: Journal Entry:   Journal entry has two effects for every transaction. The journal entry is passed…

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A: Bonds Payable - Bonds Payable is a amount borrowed to be repayable at specific interval. It carries…

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A: The objective of the question is to understand how to record the issuance of bonds and calculate the…

Q: Cort Inc. was authorized to issue $1,000,000 of 12 percent bonds. On April 1, 2022, the corporation…

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Q: the current year, Barton Corporation issued 11%, 5-year bonds with a face value of $112,000. The…

A: Bond Discount Amortization Using the Effective Interest Rate Method When a bond is sold at a…

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A: Amortization is defined as the technique used to  lower the book value of the intangible asset…

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A: Bond interest expense comprises the interest payment and bond amortization. Bonds with a face value…

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A: Bonds: These are the coupon-paying securities issued in the capital market by a company or the…

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