Computation and Calculation on how they get - Interest Received - Interest Income- Discount Amortization- Carrying Amount FacebookIntermediate Accounting 2.pdfАССТG AT3.dоск.pdfO FileC:/Users/Admin/Downloads/ACCTG_AT3.docx.pdf...3of 5(D Page viewA Read aloudУ Draw9 HighlightO EraseInterest Expense, 12731/2020P100,4535. On January 1, 2020, Monterey Company issues 100 million unsecured bonds at an issue price 95cents per unit. Transaction costs, that include underwriting fee, amount to P500,000. The bonds payinterest of 4% at the end of the first year and thereafter interest payment increases at 1% per year. Thebond mature on December 31, 2024 are redeemable at the nominal value of P1 each. At the date ofuresourceselerooissue, Monterey Company has a credit rating of "ABB" and its market interest rate is 7.09%. But due tothe imputation of the transaction cost the effective rate of the debt is 7.21%. What is the amortizedcost of the debt as of December 31, 2022?DateInterest ReceivedInterest IncomeCarrying Amount1/1/20P94,500,00012/31/20P4,000,000P6,813,45097,313,45012/31/215,000,0002,016,30099,329.00012/31/226,000,0001,161,675P100,491,4256. On January 1, 2020, Trader Company issued its 8%, 4 year convertible debt instrument with a faceP Type here to search96.6%29°CG 4) O ENG9:19 am12/09/2021

Bond Amortization - It is a principal paid regularly, along with its interest expenses over the life…

Answered: Computation and Calculation on how they…

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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can you show me how to solve this problem for accounting? Presented here are long-term liability items for Metlock, Inc. at December 31, 2022. Bonds payable (due 2026) $660,000 Notes payable (due 2024) 90,000 Discount on bonds payable 28,000
PLEASE SOLVE THIS ANSWER IN WORD DOCUMENT. I FOUND ALOT OF SAME ANSWERS ON CHEG ,BUT ALL ANSWERS ARE DIFFERENT, PLEASE SOLVE IT CORRECTLY. THANKS..... . Oaktree Industries Inc. has the following selected accounts at December 31, 2020: Notes payable, long-term 100,000 Interest payable (due Mar 1/21) 10,000 Accounts payable 56,000 Salary Payable 16,000 Bonds payable 300,000 Equipment 120,000 Current portion of bonds payable 20,000 Discount on bonds payable (LT) 10,000 Accounts receivable 34,000 Required: Prepare the liabilities section of Oaktree’s balance sheet at December 31, 2020, to show how Oaktree would report these items. Report total current liabilities and total liabilities. You may use Exhibit 1-10 as reference.
The following investment account was taken from the general ledger of One Dream Investment Company: Debt Investments - Fulfilled Dream 6% bonds (2,000,000 face value, due December 31, 2027) Date PR Debit Credit Balance January2, 2022 VR VR P1,812,300 P1,812,300 June 30, 2022 CRJ 60,000 1,752,300 Dec. 31, 2022 CRJ 60,000 1,692,300 Dec. 31, 2022 195,000 1,497,300 In the course of your examination, you obtained the following information: Interest checks were received on June 30 and December 31 and were credited to the investment account. One dream sold P200,000 of its investment on December 31, 2022 for P195,000. Effective interest rate on this investment, as computed by your audit staff, is 8%. (4% - semi annual) One Dream included this investment in a portfolio that is held to collect and for sale. The fair value at December 31, 2022 and 2023 is 97.5 and 105, respectively. How much is the gain or…
Merlin SA started business one year ago and reported the following account balances sheet on 31 December 2019 as followed. Cash 100,000 PPE 500,000 Note payable 120,000 Equity 480,000 Merlin sold €100,000, five-year, 9% bonds on January 1, 2020, for €103,992.71. Interest is payable each January 1. The Note Payable is due on June 30, 2020, with a 10% interest rate. Show the financial statement impact and prepare the journal entry on December 31, 2020, if bond Discount is amortized using the straigh-line amortization (show your calculation).
Presented here are long-term liability items for Teal Mountain Inc. at December 31, 2022. Bonds payable (due 2026) Notes payable (due 2024) Discount on bonds payable $790,000 V: 72,000 33,000 Prepare the long-term liabilities section of the balance sheet for Teal Mountain Inc. TEAL MOUNTAIN INC. Balance Sheet (Partial) please dont provide solutions image based thnx
The following investment account was taken from the general ledger of One Dream Investment Company: Debt Investments - Fulfilled Dream 6% bonds (2,000,000 face value, due December 31, 2027) Date PR Debit Credit Balance January 2, 2022 VR P1,812,300 P1,812,300 June 30, 2022 CRJ 60,000 1,752,300 Dec. 31, 2022 CRJ 60,000 1,692,300 Dec. 31, 2022 195,000 1,497,300 In the course of your examination, you obtained the following information: Interest checks were received on June 30 and December 31 and were credited to the investment account. One dream sold P200,000 of its investment on December 31, 2022 for P195,000. Effective interest rate on this investment, as computed by your audit staff, is 8%. One Dream included this investment in a portfolio that is held to collect and for sale. The fair value at December 31, 2022 and 2023 is 97.5 and 105, respectively. Question 1: The entry to correct the interest income for 2022…
usiness FinanceQ&A LibraryPlease provide solutions and explanation. Thank you so much. 1. Use the following information for the next three questions: On January 1, 20x1, ABC Co. acquired 10%, ₱1,000,000 bonds for ₱827,135. The bonds mature on December 31, 20x3 and pay annual interest every December 31. ABC Co. incurred transaction costs ₱80,000 on the acquisition. The effective interest rate adjusted for the effect of the transaction costs is 14%. The bonds are to be held under a “hold to collect and sell” business model. Information on fair values is as follows:   December 31, 20x1…………………………….98 December 31, 20x2……………………………102 December 31, 20x3……………………………100 How much is the carrying amount of the investment on December 31, 20x1? a. 935,134 b. 1,002,000 c. 980,000 d. 965,443 How much is the unrealized gain (loss) recognized in other comprehensive income on December 31, 20x1?   a. 45,866 b. (45,866) c. (37,899) d. 0 How much is the interest income recognized in 20x2? a.…
SHOW ALL WORK On 1/1/2019, Allie Company issued bonds payable of $500,000 at 8%. It was sold at $464,000 with effective interest rate of 9%. On 1/1/2020, Choco purchased all of Allie’s bond for $532,000 cash with effective interest at 7% and Allie’s bonds payable has been effectively retired.   1) What is Allies’ book value of $500,000 bonds payable on 1/1/2020? 2) Prepare a journal entry that Choco will record on 1/1/2020 regarding purchase of Allie’s bond. Investment in Bond 500,000 Premium on bonds payable 32,000 Cash 532,000 3) Compute the consolidated gain or loss on a consolidated income statement for at the end of 2020. Goodwill 32,000 4) Prepare a journal entry that Allie will record for bond interest expense on 12/31/2020.
Anya Company disclosed the following accounts on December 31, 2020: 12% Bonds Payable- Due January 1, 2023 Jan 1, 2020                                                                         Jan 1, 2013       6,000,000 P3,000,000 face amount purchased at 90 and retired                          2,700,000 Discount on Bonds Payable Jan 1, 2013                          300,000 Required: Prepare adjusting entries on December 31,2020.
Show your solution in good accounting form On April 1, 2021, ORANGE Inc. issued at 97 including accrued interest, 2,000 of its 10%,₱1,000 bonds. The bonds are dated January 1, 2021, to mature on January 1, 2031. Interest is payable semi-annually on January 1 and July 1. From the bond issuance, how much net cash did ORANGE receive? a. ₱1,890,000 b. ₱1,965,000 c. ₱1,940,000 d. ₱1,990,000
10. Sullivan Corporation includes the following selected accounts in its general ledger at December 31, 2025: Viewthe selected accounts. "Notes Payable (long - term) $65, 000 Bonds Payable (long - term)S 195, 000 Accounts Payable$ 19,600 Salaries Payable $ 1,840 Interest Payable (due next year) $ 740 Sales Tax Payable $ 680 Premium on BondsPayable $ 5,600 Estimated Warranty Payable S 1,000 Prepare the liabilities section of Sullivan Corporation's balancesheet at December 31, 2025.
Martinez Corp. issues 4800, 10-year, 8%, $1000 bonds dated January 1, 2020, at 103. The journal entry to record the issuance will show a which number and why? 1. debit to Cash of $4800000. 2. debit to Premium on Bonds Payable for $144000. 3. credit to Cash for $4944000. 4. credit to Bonds Payable for $4800000.

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Computation and Calculation on how they get - Interest Received - Interest Income - Discount Amortization - Carrying Amount