**Wonder Wilderness Company Financial Exercise**Wonder Wilderness Company is considering raising additional capital for further expansion. The company wants to finance a new business venture into guided trips down the Amazon River in South America. Additionally, the company wants to add another building on their land to offer more services for local customers.---**Tasks and Requirements**1. **Issuance of Bonds** Wonder Wilderness’s bonds will be issued at [dropdown for percentage selection] because [reason input field].2. **Transaction Recording** Requirement 2: Record the following transactions. Include dates and round to the nearest dollar. Omit explanations. *(Round your answers to the nearest whole dollar. Record debits first, then credits. Exclude explanations from any journal entries.)* **a. Cash received from the bond issue.** - **Date**: - Accounts, Debit, Credit fields provided but initially blank. - Year: 2020, Date: Jan. 2 **b. Cash received from the mortgage payable.** - **Date**: - Accounts, Debit, Credit fields provided but initially blank. - Year: 2020*Note: Click the icon to view additional financing information.*---**Visual Layout Explanation**The webpage is structured into different sections that guide students through recording journal entries for financial transactions. It includes dropdown menus, and input fields for ease of interaction, all set in a tabular format for clarity. The structure is designed to be interactive, allowing changes to be made to the data as needed for educational purposes. ### More Information**Wonder Wilderness Company** plans to raise capital by issuing $400,000 of 8%, five-year bonds on January 2, 2020. The bonds pay interest semiannually on June 30 and December 31. The company receives $398,100 when the bonds are issued.The company also issues a mortgage payable for $650,000 on January 2, 2020. The proceeds from the mortgage will be used to construct the new building. The mortgage requires annual payments of $65,000 plus interest for ten years, payable on December 31. The mortgage interest rate is 9%.

Req-1 Wonder Wilderness Company bond will be issued at "Discount" because "cash proceeds are less…

Wonder Wilderness Company plans to raise the capital by issuing $400,000 of 8%, five-year bonds on January 2, 2020. The bonds pay interest semiannually on June 30 and December 31. The company receives $398,100 when the bonds are issued. The company also issues a mortgage payable for $650,000 on January 2, 2020. The proceeds from the mortgage will be used to construct the new building. The mortgage requires annual payments of $65,000 plus interest for ten years, payable on December 31. The mortgage interest rate is 9%.

Wonder Wilderness Company plans to raise the capital by issuing $400,000 of 8%, five-year bonds on January 2, 2020. The bonds pay interest semiannually on June 30 and December 31. The company receives $398,100 when the bonds are issued. The company also issues a mortgage payable for $650,000 on January 2, 2020. The proceeds from the mortgage will be used to construct the new building. The mortgage requires annual payments of $65,000 plus interest for ten years, payable on December 31. The mortgage interest rate is 9%.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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