Brubeck Co. issued $10,000,000 of 30-year, 8% bonds on May 1 of the current year, with interest payable on May 1 and November 1. The fiscal year of the company is the calendar year. Journalize the entries to record the following selected transactions for the current year: May 1   Issued the bonds for cash at their face amount. Nov. 1   Paid the interest on the bonds. Dec. 31   Recorded accrued interest for two months.   Round the accrued interest to the nearest dollar. May 1   fill in the blank 2         fill in the blank 4 Nov. 1   fill in the blank 6         fill in the blank 8 Dec. 31   fill in the blank 10

Q: On January 1, a company purchased 3%, 20-year corporate bonds for $69,033,776 as an investment. The…

A:

Q: On January 1 of the current year, Barton Corporation issued 8% bonds with a face value of $91,000.…

A: When bonds are issued at a price less than the face value, then it means bonds are issued at a…

Q: On July 1, Year 1, Khatri Industries Inc. issued $18,000,000 of 10-year, 5% bonds at a market…

A: Coupon rate = 5%/2 Coupon rate = 2.5%   Market rate = 6%/2 Market rate = 3%   Number of periods =…

Q: On January 1, the first day of the fiscal year, a company issues a $650,000, 10%, 10-year bond that…

A: Bonds Payable: Bonds payable are generated when a company issues bonds to generate cash. As a bond…

Q: The Levi Company issued $100,000 of 12% bonds on January 1 of the current year at face value. The…

A: When bonds issued at par, there is no amortization of discount or premium required.

Q: Dunphy Company issued $10,000 of 6%, 10-year bonds at par value on January 1. Interest is paid…

A:

Q: On January 1, Remington Corp issued $500,000 of 15-year, 10% bonds payable, yielding an effective…

A:

Q: Jaurez Company issued $400,000 of 9%, 10-year bonds on January 1, 2010, at face value. Interest is…

A: Journal entry is a process of recording the business transaction in the books of accounts for the…

Q: On the first day of the current fiscal year, $2,000,000 of 10-year, 7% bonds, with interest payable…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: On January 1, a company issued 3%, 20-year bonds with a face amount of $80 million for $69,033,776…

A:

Q: On April 1, Year 1, Brandi Corporation issued $20,000,000 of 5-year, 9% bonds at a market interest…

A: a. Issuance of the bonds on April 1, Year 1: Date Accounts title and explanation Debit ($) Credit…

Q: Grayco issued $2,000,000 of 10 year, 6% bonds on March 1 of the current year at face value, with…

A: SOlution: Date Particulars Debit Credit 01-Mar Cash 2000000           To bonds payable…

Q: On January 1, the first day of the fiscal year, a company issues an $800,000, 4%, 10-year bond that…

A: BondA bond is an instrument evidencing a debt which is issued for the purpose of raising money…

Q: On 1 April, year 1, Happy Corporation issues $50 million of 10%, 30-year bonds payable at par.…

A: Journal entry to record first cash payment to bondholders:

Q: The Levi Company issued $78,000 of 11% bonds on January 1 of the current year at face value. The…

A: Semi-annual interest=Face value of bonds×Coupon rate×6 months12 months

Q: On July 1, Year 1, Khatri Industries Inc. issued $43,200,000 of 10-year, 4% bonds at a market…

A: Journal entries means the entries to be recorded in the accounting books of the business for all the…

Q: The Levi Company issued $94,000 of 8% bonds on January 1 of the current year at face value. The…

A: Semiannually interest payment = Face value of bonds x rate of interest x 6/12 = $94000 x 8% x 6/12 =…

Q: On July 1, Year 1, Danzer Industries Inc. issued $40,000,000 of 10-year, 7% bonds at a market…

A: 1.

Q: On January 1, the first day of the fiscal year, a company issues a $5,000,000, 6%, 10-year bond that…

A: Requirement a:Prepare the journal entry to record issuance of the bonds.

Q: ABC Co. issued $900,000 of 10-year, 7% bonds on May 1 of the current year at face value, with…

A:

Q: On the first day of the fiscal year, a company issues an $2,250,000, 12%, five-year bond that pays…

A: Premium on issue of bonds = Cash received - Par value of bonds = $2,379,360 - $2,250,000 = $129,360

Q: The Levi Company issued $70,000 of 11% bonds on January 1 of the current year at face value. The…

A: Formula: Interest amount = Principal amount x interest rate x Number of days. Interest is a charge…

Q: On July 1, 20Y1, Danzer Industries Inc. issued $50,000,000 of 10-year, 8% bonds at a market…

A: Definition:

Q: On January 1 of the current year, Barton Corporation issued 10% bonds with a face value of $92,000.…

A: Bond interest expense refers to the amount incurred by the entity for the amount borrowed by it from…

Q: the current fiscal year (for the issuer’s books):   (a) Issuance of the bonds. (b) First annual…

A: No. Particulars  Debit Credit a         Cash 2125000     Premium on bonds payable   125000…

Q: The following transactions were completed by Winklevoss Inc., whose fiscal year is the calendar…

A: Journal entries are prepared to record the financial and non financial transactions of the business…

Q: On the first day of the fiscal year, a company issues an $2,750,000, 8%, five-year bond that pays…

A: Interest is calculated as a percentage of the loan (or deposit) balance, which is paid to the lender…

Q: Smiley Corporation wholesales repair products to equipment manufacturers. On April 1, Year 1, Smiley…

A: a. Prepare the journal entry to record the issuance of bonds on April 1.

Q: On July 1, Year 1, Khatri Industries Inc. issued $18,000,000 of 10-year, 5% bonds at a market…

A: Introduction Bonds issued with discount: Bonds are financial instrument which represents company’s…

Q: 5) Compute the price of $28,279,368 received for the bonds by using the present value tables. (Round…

A: Summary of the information provided : Date of issue : July 1, 20Y1, Face value of the bond :…

Q: On January 1 of the current year, a company paid $200,000 cash to purchase 10%, 10-year bonds, with…

A: Journal entry shows the recording of transactions during an accounting year and every transaction…

Q: On the first day of the fiscal year, a company issues a $1,800,000, 6%, five-year bond that pays…

A: Since bond has been issued at discount, difference between face value and issue price will be…

Q: On July 1, 20Y1, Danzer Industries Inc. issued $40,000,000 of 10-year, 7% bonds at a market…

A: Interest expense = Issue price * Market rate * Time

Q: The following transactions were completed by Winklevoss Inc., whose fiscal year is the calendar…

A: Discount on bonds=$74,000,000-$63,532,267=$10,467,733

Q: Wayne Company issued bonds with a face value of $1,020,000, a 10% stated rate of interest, and a…

A: Working: Issue price of the bond=$1,020,000×1.06=$1,081,200 Face value = $1,020,000 Premium on bond…

Q: b. First interest payment on October 1, Year 1, and the amortization of bond premium for 2 months,…

A: Bonds:   Bonds are the financial debt instruments issued by the corporations to raise capital for…

Q: The following transactions were completed by Montague Inc., whose fiscal year is the calendar year:…

A: Bonds: Bonds are long-term promissory notes that are represented by a company while borrowing money…

Q: On the first day of the fiscal year, a company issues a $500,000, 8%, 10-year bond that pays…

A: Bonds are instrument issued by company acknowledging the debt raised by company . It is a liability…

Q: Pieriniel, Inc., reports financial statements each December 31 and issues $600,000, 7%, 15-year…

A:

Q: The Levi Company issued $200,000 of 12% bonds on January 1 of the current year at face value. The…

A:

Q: On October 1, 2010, Tender Corporation issued Rs. 500,000 of 9 percent bonds at 96. The bonds are…

A: Given that: Face value of bonds = $500,000 Issue price of bonds = 500,000 * 96% = $480,000 Discount…

Q: The following transactions were completed by Montague Inc., whose fiscal year is the calendar year:…

A: Since, only the 2nd and 3rd requirement are mentioned they are answered. Bonds: Bonds are long-term…

Q: On July 1, Year 1, Danzer Industries Inc. issued $37,400,000 of 10-year, 11% bonds at a market…

A: Bonds defined as the units of the corporate debt issued through the companies as well as securitized…

Q: Hoover Corp., a wholesaler of music equipment, issued $11,200,000 of 20-year, 9% callable bonds on…

A: Journal entries are prepared to record the financial and non-financial transactions of the business…

Q: The Square Foot Grill, Inc. issued $230,000 of 10-year, 9 percent bonds on January 1, Year 2, at…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: On January 1 of the current year, Barton Corporation issued 10%, 5-year bonds with a face value of…

A: Discount on bonds payable = $200,000 - $191,000 Discount on bonds payable = $9,000   Number of…

Q: Luke Corp. issued $2,000,000 of 20-year, 9% callable bonds on July 1, Year 1, with interest payable…

A: From July 1 to December 31 = 6 months Interest expense has been accrued for 6 months in the month of…

Q: Hsu Company issued $102,.000 of 10% bonds on January 1 at face value. The bonds pay interest…

A: Given in question: Face value of bond is $102,000 Coupon rate is 10% Since the bonds are issued at…

Q: On July 1, Year 1, Danzer Industries Inc. issued $40,000,000 of 10-year, 7% bonds at a market…

A: Since we only answer up to 3 sub-parts, we’ll answer the first three. Please resubmit the question…

Q: Hoover Corp., a wholesaler of music equipment, issued $11,200,000 of 20-year, 9% callable bonds on…

A: The journal entries are prepared to keep the record of day to day transactions of the business.