A $650,000 bond issue on which there is an unamortized discount of $45,00, is redeemed for $600,000. What journal entry would you make to record the redemption of the bond?
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A: Solution 1: Journal Entries - Hillside Date Particulars Debit Credit 1-Jan-21 Cash…
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A: Formula: Interest expense = Bond face value x Interest rate x Time periods
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A: As we know that the term redemption has various utilizations in the money and business world,…
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A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
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A: Discount on bonds payable = face value of bonds - Issue price = $2500000-2387327 = $112673
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A: Prepare journal entry.
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A: As posted multiple independent questions we are answering only first question kindly repost the…
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A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: A $515,000 bond issue on which there is an unamortized discount of $36,000 is redeemed for $463,000.…
A: The bonds are issued at discount when market rate is lower than the coupon rate of bonds.
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A: Journal Entry: Journal entry has two effects for every transaction. The journal entry is passed by…
Q: On Janua
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Q: On January 1, 2021, Bank Nizwa. issued RO 90,000, five-year, 12% bonds at (100% of face value). The…
A: At the time of issue of the bond, interest is not recorded. It is recorded when the amount becomes…
Q: a $300,000 bond was redeemed at 104 when the carrying value of the bond was $316,000. The entry to…
A: Payment made on redemption = Bond face value x rate of redemption = $300,000 x 104% = $312,000…
Q: A $300,000 bond was redeemed at 104 when the carrying amount of the bond was $316,000. The entry to…
A: Bonds: Bonds are the financial debt instruments issued by the corporations to raise the capital for…
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A: Since you have asked multiple question, we will solve the first question for you. If you want any…
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A: As posted multiple sub parts we are answering only first three sub parts kindly repost the…
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A: Given data: Value of Bond: $278,000 Carrying amount of bond : $273,830 Redeemed at 98 If the…
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A: Face value of bond = $ 1,900,000 Issue price of bond = $ 1,641,812…
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Q: A $1,900,000 bond issue on which there is an unamortized premium of $101,264 is redeemed for…
A:
Q: A $515,000 bond issue on which there is an unamortized discount of $41,000 is redeemed for $473,000.…
A: Given that: Bond value = $515000 Unamortised discount = $41000 Redemption value = $473000
Q: An $800,000 bond issue on which there is an unamortized premium of $57,000 is redeemed for $785,000.…
A: Bonds are issued by the company to meet the financial requirements of the company without losing its…
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A: An account title is essential when the accounting staff needs to identify an account, since the…
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A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: On March 31, 20x7, KEEPU issued for P1,774,000, P2,000,000 face amount of its 10%, P1,000 bonds. The…
A: Interest method to amortize bond discount is a process in which the discount on issue of bond is…
Q: On the first day of the fiscal year, a company issues a $1,600,000, 6%, 6-year bond that pays…
A: SOLUTION PREMIUM ON BONDS- WHEN BONDS PAYABLE ARE ISSUED FOR AN AMOUNT GREATER THAN THEIR FACE AND…
Q: On the first day of the fiscal year, a company issues a $5,000,000, 10%, 4-year bond that pays…
A: Premium on Bond issue = Issue price of bonds - Face value of bonds = $5,336,638 - $5,000,000 =…
Q: A $300,000 bond was redeemed at 104 when the carrying amount of the bond was $316,000. The entry to…
A: Total amount paid for bond redemption = $300,000×104% =$312,000
Q: On January 1, 2019, $40 million face amount of 5%, 20-year bonds were issued. The bonds pay interest…
A: Bond is issued by the companies in order to raise fund. The bondholders receive a fixed amount of…
Q: A $920,000 bond issue on which there is an unamortized premium of $65,000 is redeemed for $821,000.…
A: Calculate the carrying amount of bonds payable:
Q: A $500,000 bond issue on which there is an unamortized discount of $35,000, is redeemed for…
A: Outstanding Bonds of $465,000 ($500,000 - $35,000) are redeemed for $475,000 So, $10,000 is the Loss…
Q: A $545,000 bond issue on which there is an unamortized discount of $37,000 is redeemed for $472,000.…
A: Given, Face value of bonds = $545,000 Unamortized discount = $37,000 Redemption value = $472,000
Q: A $1,200,000 bond issue on which there is an unamortized premium of $63,956 is redeemed for…
A: Journalize the redemption of the bonds.
Q: Count Amo On the first day of the fiscal year, a company issues a $6,300,000, 6%, 5-year bond that…
A: Discount on issue of bonds = face value - issue price = $6300000 - $6038029 =$261971
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A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: On 1 January 2020, ABC bought a USD 150,000 5% bond for USD 145,000, incurring issue costs of USD…
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- Dixon Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1, 2018 and received $480,000. Interest is payable annually. The discount is amortized using the straight-line method. Prepare journal entries for the following transactions. A. July 1, 2018: entry to record issuing the bonds B. June 30, 2019: entry to record payment of interest to bondholders C. June 30, 2019: entry to record amortization of discount D. June 30, 2020: entry to record payment of interest to bondholders E. June 30, 2020: entry to record amortization of discountEdward Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1, 2018 and received $480,000. Interest is payable semiannually. The discount is amortized using the straight-line method. Prepare journal entries for the following transactions. A. July 1, 2018: entry to record issuing the bonds B. Dec. 31, 2018: entry to record payment of interest to bondholders C. Dec. 31, 2018: entry to record amortization of discountOn January 1, a company issued a 5-year $100,000 bond at 6%. Interest payments on the bond of $6,000 are to be made annually. If the company received proceeds of $112,300, how would the bonds issuance be quoted? A. 1.123 B. 112.30 C. 0.890 D. 89.05
- On January 1, 2018, Wawatosa Inc. issued 5-year bonds with a face value of $200,000 and a stated interest rate of 12% payable semi-annually on July 1 and January 1. The bonds were sold to yield 10%. Assuming the bonds were sold at 107.732, what is the selling price of the bonds? Were they issued at a discount or a premium?Volunteer Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1, 2018 and received $540,000. Interest is payable annually. The premium is amortized using the straightline method. Prepare journal entries for the following transactions. A. July 1, 2018: entry to record issuing the bonds B. June 30, 2019: entry to record payment of interest to bondholders C. June 30, 2019: entry to record amortization of premium D. June 30, 2020: entry to record payment of interest to bondholders E. June 30, 2020: entry to record amortization of premiumOn Jan. 1, Year 1, Foxcroft Inc. issued 100 bonds with a face value of $1,000 for $104,000. The bonds had a stated rate of 6% and paid interest semi-annually. What is the journal entry to record the first payment to the bondholders?
- On Jan. 1, Year 1, Foxcroft Inc. issued 100 bonds with a face value of $1,000 for $104,000. The bonds had a stated rate of 6% and paid interest semiannually. What is the journal entry to record the issuance of the bonds?Aggies Inc. issued bonds with a $500,000 face value, 10% interest rate, and a 4-year term on July 1, 2018, and received $540,000. Interest is payable semi-annually. The premium is amortized using the straight-line method. Prepare journal entries for the following transactions. A. July 1, 2018: entry to record issuing the bonds B. Dec. 31, 2018: entry to record payment of interest to bondholders C. Dec. 31, 2018: entry to record amortization of premiumAllante Corporate issued 50 bonds with a face value of $1,000 and a stated rate of 4% and received $45,000. What is the journal entry to record the sale of the bonds?