f. Now assume the date is October 25, 2019. Assume further that a 12%,10-year bond was issued on July 1, 2019, pays interest semiannually (onJanuary 1 and July 1), and sells for $1,100. Use your spreadsheet to findthe bond’s yield.

Q: On July 01, 2019, SALUDO RAW SA'YO SI MAGELLAN SABI NI LOLA CO. received P1,032,880 for P1,000,000…

A: Solution: Interest expense for the six months ended December 31, 2019 = Issue price * 10% *6/12  =…

Q: On January 1, 2021, Instaform, Inc., issued 12% bonds with a face amount of $60 million, dated…

A: GIVEN   On January 1, 2021, Instaform, Inc., issued 12% bonds with a face amount of $60 million,…

Q: Today is December 1, 2019. A bond with a coupon rate of 7.6% has an invoice price of $1,088. The…

A: Clean price of the bond is calculated as:  Clean Price=Full Price-Accrued Interest Accrued Interest:…

Q: On January 1, 2020, Metro Inc. issued a five-year bond with a face value of $700,000. The bond bears…

A: Discount or Premium on Bond Issue: A premium bond has a coupon rate that is greater than the market…

Q: On March 1, 2020, Jackson issues 5-year bonds, dated January 1, 2020, with a par value of…

A: The suitable option for the given question seems to be "There is insufficient information to…

Q: On January 02, 2020, ABC Company issued its 9% bonds in the face amount of P4,000,000 which mature…

A: Total interest expense for the year = the carrying amount of the bonds × the effective rate (yield)…

Q: On January 1, 2021, XYZ Corp issued 12% bonds dated January 1, 2021, with a face amount of $20…

A: 1. Compute issue price of bonds at January 1, 2021 as shown below:   Semi-annual interest rate is…

Q: On February I, 2019, Osborn pie sold 12% bonds having a maturity value of $800,000. The bond yields…

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts…

Q: On January 1, 2020, Swifty Limited paid $561,003.30 for 10% bonds with a maturity value of $540,000.…

A: Journal entries refers to the process of systematic documentation of financial activities of a…

Q: On January 1, 2021, GLITTER Company issued 10% bonds dated January 1, 2021 with a face amount of…

A: Solution a: Computation of bond price Table values are based on: n= 12     i= 7.00%…

Q: On January 1, 2021, Flamengo Co. issued a four-year, $10,000, 7% bond. The interest is payable…

A: A bond is a financial debt security issued by large business organizations or governments. It is…

Q: On July 1, 2021, Glamorous Corporation issued 11% bonds in the face amount of P2,000,000 that mature…

A: Interest =  P2,000,000 × 11% = P220,000

Q: A 12% Pl face value bond with interest payable June 30 and December 31, which matures on June 30,…

A: Total cash received by June 30, 2022 = Redemption value of the bonds + Semi-annual interest on the…

Q: On January 1, 2021, Instaform, Inc., issued 10% bonds with a face amount of $52 million, dated…

A: Bonds payable: It is a long term liability to the organization issuing it. It is issued to raise…

Q: On April 1, 2020, BANANA Company purchased 9% bonds with a face value of ₱4,000,000 for ₱3,756,000…

A: Interest refers to the cost of money borrowed from a lender. It can be simple or compound. It is…

Q: Quatro Co. issues bonds dated January 1, 2019, with a par value of $720,000. The bonds’ annual…

A: Given that: Par value of bonds = $720,000 Issue price of bonds $757,732

Q: On January 1, 2020, Marigold Company sold  12% bonds having a maturity value of $ 400,000 for $…

A: The bonds are issued at premium when market rate is lower than the coupon rate of bonds.

Q: On January 01, 2019, IDAMAY KO NA RIN PO SI PAPA CO. issued 10-year bonds with a face amount of P1…

A: Solution Chart Values are based on:           n=  10   i=  10%   Cash Flow Table Value *…

Q: On January 1, 2020, Garner Hot Rods issued $2,000,000 of 6%, 10-year bonds. Interest is payable…

A: Compute coupon payment for six months period as shown below:

Q: It is now January 1, 2019, and Morgan Bush is considering the purchase of an outstanding bond that…

A: Bonds are debt securities issued by Government or other companies, who seek to raise money from…

Q: On January 1, 2020, Johny Industries issued ten-year bonds with a face value of $2,000,000 and a…

A: The bonds are the financial instruments for the business which are used to raise money from the…

Q: Quatro Co. issues bonds dated January 1, 2019, with a par value of $730,000. The bonds’ annual…

A: Formula: Premium on Bonds = Sell price - PAR value Deduction of PAR value from Sell price of bonds…

Q: Assuming the market interest rate on the issue date is 7%, the bonds will issue at $410,000. Record…

A: Date Particulars Debit Credit Jan 1, 2021 Cash Account                           Dr. $410000…

Q: On May 1, 2020, a $300,000, ten-year, 14% bond was sold to yield 12% plus accrued interest. The bond…

A: Dirty price of bonds = Clean price of bonds + Accrued interest   Basic information Face value of…

Q: Brussels Enterprises issues bond as par dated January 1, 2019 that have a 2,900,000 par value…

A: The question is based on the concept of Journal Entry.

Q: On January 1, 2019, Learned Inc. issued $105 million face amount of 20-year, 14% stated rate bonds…

A:

Q: A savings bond with a face value of 1000 bears interest at 7% payable semi-annually and matures on…

A: Bond Sell at premium or at discount If bond price is  trading at a value that  higher than face…

Q: On January 1, 2021, BBB Company issued 10% bonds payable dated January 1, 2021 with a face amount of…

A: Present Value of Bond = PV of Coupon Payments + PV of Redemption Value PV of Coupon Payments =…

Q: On January 1, 2019, Company C issues $200,000 of its 6% bonds which mature in 10 years. Interest is…

A: Determine the price of the bond:   Present value of principle amount ($200,000, 4%, 10 years)…

Q: On January 1, 2021, BLITZEN Company issued 10% bonds dated January 1, 2021 with a face amount of…

A: Given information Face value of bond = P 8,000,000 Life of bond = 6 years Number of periods = 6 x…

Q: On July 1, 2019, Waterway Industries issued 11% bonds in the face amount of $12500000, which mature…

A: A bond discount is discount on bonds computed when the par value of bond exceeds the price on which…

Q: On January 1, 2021, an investor paid OR291, 000 for bonds with a principal amount of OR300,000. The…

A: The interest income refers to the amount earned by the company on the amount lent aside from the…

Q: On January 02, 2020, ABC Company issued its 9% bonds in the face amount of P4,000,000 which mature…

A: Solution: Bond Amortization Schedule (Partial) Period Cash Paid Interest Expense Discoount…

Q: On December 31, 2021, Interlink Communications issued 6% stated rate bonds with a face amount of…

A: Price of the bond: Price of the bond is the present value of the amount to be paid after end of the…

Q: BlueLtd. issued a $1,164,000, 10-year bond dated January 1, 2020. The bond was sold to yield 12%…

A:

Q: Stanford issues bonds dated January 1, 2019, with a par value of $250,000. The bonds' annual…

A: Bonds payable are one of the sources of finance and are shown as liability. If the interest rate is…

Q: On January 1, 2020, Riverbed Company sold 12% bonds having a maturity value of $850,000 for…

A: Formula: Amortization of bond premium = Interest payment - Interest expense where, Interest payment…

Q: On January 1, 2021, Mania Enterprises issued 16% bonds dated January 1, 2021, with a face amount of…

A: Bond: Bond is termed as an income instrument which provides fixed rate of interest. It is a type of…

Q: Jan 1, 2020, purchased for $409,686 a 7.5% bond that matures in 5years, when the market interest…

A: Bond is a financial instrument that gives bondholder a legal right of receiving payments on regular…

Q: On January 1, 2019, Bay Company issues bonds with a face value of $850,000 that pay 9% interest…

A:

Q: on january 1, 2019, bay company issues bonds with a face value of $850,000 that pay 9% interest…

A:

Q: On January 1, 2020, XYZ Co. issued 8-year bonds with a face value of $1,500,000 and a stated…

A: formula for price of bond: price of bond=coupon×1-11+rmm×nrm+par1+rmm×n where, r=rate per period m…

Q: The Werner Company issued 10-year bonds on January 1, 2020. The debt has a face value of $800,000…

A: Bond value: Using the bond valuation, you may determine the potential fair value of a given bond by…

Q: On January 1, 2019, a compeny Issued $400,200 of 10-year, 129% bonds. The Interest is payable…

A: Interest payment on June 30 = Face value of bonds x rate of interest x 6/12 = $400200*12%*6/12 =…

Q: Spiller Corp. plans to issue 10%, 15-year, $500,000 par value bonds payable that pay interest…

A: Face Value of Bond = $500000 Coupon Rate = 10% per annum Coupon Amountfor 6 months = 500000*10% /2 =…

Q: On December 31, 2021, Interlink Communications issued 6% stated rate bonds with a face amount of…

A: Given,  Stated rate = 6% Face value = $100,000,000 Market rate = 7%

Q: Quatro Co. issues bonds dated January 1, 2019, with a par value of $720,000. The bonds' annual…

A: Premium on bonds at the time of issuance = Issue price of bonds - Face value of bonds

Q: On January 1, 2020, Swity Company sold 11% bonds having a maturity value of $700,000 for $726,535,…

A: Interest Expense = Opening Carrying Amount * 10% Premium Amortized = Cash Paid - Interest Expense

Q: Stanford issues bonds dated January 1, 2019, with a par value of $500,000. The bonds’ annual…

A: Bond discount is defined as an amount through which the bond's market prices, which is lower as…