Five thousand bonds with a face value of $1000 each, are sold at 107. The entry to record the issuance is
Q: Langdon & Co. issues bonds with a face value of $50,000 for $51,000. Each $1,000 bond carries 10…
A: Value assigned to bonds = (Market value of Bonds without warrant /Market value of Bonds Without…
Q: If $917,000 of 11% bonds are issued at 102 1/2, The amount of cash received from the sale is:
A: Given that bonds are issued at 102 1/2 11% bonds = $ 917000
Q: Buffalo Corporation issues $590,000 of 9% bonds, due in 10 years, with interest payable…
A: Number of half years=10×2=20 half-years
Q: On the first day of the current fiscal year, $200,000 of 5-year, 10% bonds, with interest payable…
A: Discount on Bonds payable = Face value of bonds - issue price of bonds = $200,000 - $192,462 =…
Q: Medhurst Corporation issued $86,100 in bonds for $83,000. The bonds had a stated rate of 8% and pay…
A: Formula used for calculating discount on bonds payable: Discount on bonds payable = issued price -…
Q: A corporation issues $26,000,000 of 9% bonds to yield interest at the rate of 7% (hint: market…
A: Bonds are the liability for the company on which a specific interest has to be paid overtime. It is…
Q: If $522,000 of 8% bonds are issued at 94, the amount of cash received from the sale is:
A: Bonds price is indicated as a percentage of par value and par value is assumed at 100. So price…
Q: On January 1, Elias Corporation issued 10% bonds with a face value of $67,000. The bonds are sold…
A: Discount on bonds = Face value of bonds - Issue price of bonds = $67,000 - $64,990 = $2,010…
Q: On July 1, 20x7, Morning Co. received P103,288 for ₱100,000 face amount, 12% bonds, a price that…
A: On 01.07.20x7, Morning Co. received 12% bonds = P103288 Face amount of bonds = P100000 Yield rate =…
Q: On January 1, 2018, Davie Services issued $20,000 of 8% bonds that mature in five years. They were…
A: Premium on issue of bonds = Isue value - face value of bonds = $20,750 - $20,000 = $750
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: Culver Corporation issues $450,000 of 8% bonds, due in 9 years, with interest payable semiannually.…
A: Issue price of the bonds = Present value of principal + Present value of interest payments where,…
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: If $699,000 of 7% bonds are issued at 94, the amount of cash received from the sale is
A: Bonds are considered a financial instrument used to raise finance for the organization. It is also…
Q: On the first day of the fiscal year, a company issues a $3,000,000, 11%, five-year bond that pays…
A: Prepare journal entry for issuance of bonds payable.
Q: On the first day of the fiscal year, a company issues an $8,000,000, 11%, five-year bond that pays…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: On the first day of the current fiscal year, $2,000,000 of 7%, 10-year bonds, with interest payable…
A: Bonds are issued by the company to meet the financial requirements of the company without losing its…
Q: Keys Inc. Issued 100 bonds with a face value of $1,000 and a rate of 8% at $1,025 each. The journal…
A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from…
Q: Medhurst Corporation issued $86,722 in bonds for $94,389. The bonds had a stated rate of 8% and pay…
A: The quarterly payment on the bond is calculated on the face value of the bonds at the stated rate…
Q: On January 1, Parson Freight Company issues 9.0 %, 10-year bonds with a par value of $3,900,000. The…
A: Bonds payable are one of the sources of finance and are shown as liability. If the interest rate is…
Q: Investco issued $30,000 of 6.25% bonds on January 1 at a discount of $2,107. Interest expense…
A: The book value of the bond is calculated by subtracting the unamortized discount from the face value…
Q: On January 1, a company issued a 5-year $100,000 bond at 6%. Interest payments on the bond of $6,000…
A: Bonds: Bonds are long-term promissory notes that are issued by a company while borrowing money from…
Q: much should be recorded for Discount (or Premium) on Bonds Payable? (Enter an amount. Please do not…
A: Journal: Journal is considered as a book of original entry because all the transactions that have…
Q: Bonita Corporation issues $590,000 of 9% bonds, due in 9 years, with interest payable semiannually.…
A: Calculate the cash interest payment for bonds.
Q: ive thousand bonds with a face value of $2000 each, are sold at 93. The entry to record the issuance…
A: Bonds are considered a financial instrument used to raise finance for the organization. It is also…
Q: Splish Inc. issues $3,700,000 of 7% bonds due in 12 years with interest payable at year-end. The…
A: Current price of the bond is the present value of future payments to be received. Future payments…
Q: If $4,000,000 of 12% bonds are issued at 103 1/4, the amount of cash received from the sale is:
A: Number of bonds=Par value of bondsPer share value=$4,000,000$100=40,000
Q: On Jan. 1, Year 1, Foxcroft Inc. issued 100 bonds with a face value of $1,000 each for $104,000. The…
A: Journal entries are passed following the golden rules of accounting Debit all assets and expenses…
Q: On January 1 of the current year, Barton Corporation issued 12% bonds with a face value of $87,000.…
A: SOLUTION- COMPUTATION FIRST THE YEARLY AMORTIZATION OF THE BOND DISCOUNT- PARTICULARS AMOUNT $…
Q: If $1,000,000 of 8% bonds are issued at 102.5, the amount of cash received from the sale is
A: Cash Received from the sale of Bond : The total cash received from the sale of bond to the company…
Q: The total interest paid on $46,000, ten-year, 6 percent bonds that are issued at 98 is a. $28,520.…
A: Total interest paid = Interest paid + Discount on bonds where, Discount on bonds = Face value of…
Q: Five thousand bonds with a face value of $1000 each, are sold at 105. The entry to record the…
A: The par value of Bonds is $1000. But the bonds are issued at a 5% premium. Therefore, Par value of…
Q: On January 1, the Elias Corporation issued 10% bonds with a face value of $50,000. The bonds are…
A: The total interest expense for an organization's payable bonds over the course of a reporting period…
Q: Five thousand bonds with a face value of $1000 each, are sold at 109. The entry to record the…
A: In this numerical has covered the concept of Bonds Payable.
Q: On the first day of the fiscal year, a company issues a $3,000,000, 11%. five-year bond that pays…
A: Bond Payable: It is the liability of the company which has to pay within the required period of…
Q: On Jan. 1, Year 1, Foxcroft Inc. issued 110 bonds with a face value of $1,000 for $113,900. The…
A: Jan 1. Cash Debit $113,900 Premium on bonds payable Credit $ 3900 Bonds Payable…
Q: On January 1, the Ryan Company issued $400,000 of 6%, 6-year bonds when the market rate of interest…
A: The cash collected from the issue of bonds is referred to as bond proceeds.
Q: Alice issued $50,000 of 4%, 5-year term bonds on 12-31-18 when the market rate for similar bonds was…
A: The effect of bond on the cash flow statement is as follows:- (a) Issue of bond- Inflow of cash (b)…
Q: Five thousand bonds with a face value of $2000 each, are sold at 112. The entry to record the…
A: Bonds are a form of loan taken by the company, on which business has to pay regular interests. When…
Q: On Jan. 1, Year 1, Foxcroft Inc. issued 110 bonds with a face value of $920 for $105,200. The bonds…
A: Face value of 110 bonds is $101,200. But $105,200 (110*$920) of cash has been received. This means…
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: Blue Spruce Corp. issues $310,000 of bonds for $325,500. Prepare the journal entry to record the…
A: Bonds issue price = $325,500 Bonds face value = $310,000 Premium on bonds issue = Bonds issue price…
Q: When the market rate of interest was 11%, Christopher Corporation issued $100,000 of five-year, 12%…
A: The Selling price of the bond will be Present Value of the Interest Amount to be Received for…
Q: On Jan. 1, Year 1, Foxcroft Inc. issued 120 bonds with a face value of $1,080 for $132,600. The…
A: Bonds are issued to fulfil the requirement of the capital of the company. It represents the…
Q: On July 1, 2018, Mason & Beech Services issued $33,000 of 10% bonds that mature in five years. They…
A: Interest payable on the bond is the amount payable on the bond by the bondholder at the coupon rate,…
Q: On January 1, Applied Technologies Corporation (ATC) issued $500,000 in bonds that mature in10…
A: Journal entries refer to recording/ classifying business transactions into the book of accounts…
Q: If the amount of a bond premium on an issued 11%, four-year, $100,000 bond is $12,928, the annual…
A: A bond is basically an interest-bearing loan instrument that is issued by the companies in order to…
Q: Evie Inc. issued 49 bonds with a $1,400 face value, a five-year life, and a stated annual coupon of…
A: Bonds payable are one of the sources of finance and are shown as liability. If the interest rate is…
Five thousand bonds with a face value of $1000 each, are sold at 107. The entry to record the issuance is
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- Medhurst Corporation issued $90,000 in bonds for $87,000. The bonds had a stated rate of 8% and pay interest quarterly. What is the journal entry to record the sale of the bonds?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 semi-annually. What is the journal entry to record the first payment to the bondholders?Medhurst Corporation issued $90,000 in bonds for $87,000. The bonds had a stated rate of 8% and pay interest quarterly. What is the journal entry to record the first interest payment?
- Willoughby Inc. issued 100 bonds with a face value of $1,000 and a stated rate of 4% and received $105,000. What is the journal entry to record the sale of the bonds?Allante 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?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?
- Piedmont Corporation issued $200,000 of 10-year bonds at par. The bonds have a stated rate of 6% and pay interest annually. What is the journal entry to record the first interest payment to the bondholders?On July 1, a company sells 8-year $250,000 bonds with a stated interest rate of 6%. If interest payments are paid annually, each interest payment will be ________. A. $120,000 B. $60,000 C. $7,500 D. $15,000Huang Inc. issued 100 bonds with a face value of $1,000 and a 5-year term at $960 each. The journal entry to record this transaction includes ________. A. a debit to Bonds Payable for $100,000 B. a debit to Discount on Bonds Payable for $4,000 C. a credit to cash for $96,000 D. a credit to Discount on Bonds Payable for $4,000
- Lunar Corporation issued $80,000 in bonds for $87,000 on Jan. 1. The bonds had a stated rate of 8% and pay interest quarterly. What is the journal entry to record the first interest payment?A company issued $100,000, 5-year bonds, receiving $97,000. What is the balance sheet presentation immediately after the sale?Pinetop Corporation issued $150,000 10-year bonds at par. The bonds have a stated rate of 6% and pay interest annually. What is the journal entry to record the sale of the bonds?
