GoamGo Journalize entries to record the transactions. Refer to the Chart of Accounts for exact wording of account titles.JoWO324567819Journal10DATEDESCRIPTIONAdjusting Entriesck My Work 3 more Check My Work uses remaining.JOURNALPOST. REF.DEBITCREDIT InstructionsGonzalez Company acquired $180,000 of Walker Co., 6% bonds on May 1 at their faceamount. Interest is paid semiannually on May 1 and November 1. On November 1,Gonzalez Company sold $55,800 of the bonds for 99.Journalize entries to record the following in Year 1 (refer to the Chart of Accounts for exactwording of account titles):ab.C.d.The initial quisition of the bonds on May 1.The semiannual interest received on November 1.The sale of the bonds on November 1.The accrual of $1,242 interest on December 31.

Investment in Bond's :— These are the investment which gives a fixed rate of interest to their…

Journalize entries to record the following in Year 1 (refer to the Chart of Accounts for exact wording of account titles): a b. C. d. The initial acquisition of the bonds on May 1. The semiannual interest received on November 1. The sale of the bonds on November 1. The accrual of $1,242 interest on December 31.

Journalize entries to record the following in Year 1 (refer to the Chart of Accounts for exact wording of account titles): a b. C. d. The initial acquisition of the bonds on May 1. The semiannual interest received on November 1. The sale of the bonds on November 1. The accrual of $1,242 interest on December 31.

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter15: Investments And Fair Value Accounting

Section: Chapter Questions

Problem 1E: Parilo Company acquired 170,000 of Makofske Co., 5% bonds on May 1, 2016, at their face amount....

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Whirlie Inc. issued $300,000 face value, 10% paid annually, 10-year bonds for $319,251 when the market of interest was 9%. The company uses the effective-interest method of amortization. At the end of the year, the company will record ________. A. a credit to cash for $28,733 B. a debit to interest expense for $31,267 C. a debit to Discount on Bonds Payable for $1,267 D. a debit to Premium on Bonds Payable for $1.267
Below is select information from two, independent companies. Additional information includes: On January 1, Company A issued a 5-year $1,500,000 bond with at 6% stated rate. Interest is paid semiannually and the bond was sold at 105.5055 to yield a market rate of 4.75%. On January 1, Company B sold $1,500,000 of common stock and paid dividends of $75,000. A. Prepare an income statement for each company (ignore taxes) B. Explain why the net income amounts are different, paying particular attention to the operational performance and financing performance of each company. (Hint: it may be helpful for you to create an amortization table).
Parilo Company acquired 170,000 of Makofske Co., 5% bonds on May 1, 2016, at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, 2016, Parilo Company sold 50,000 of the bonds for 96. Journalize entries to record the following: a. The initial acquisition of the bonds on May 1. b. The semiannual interest received on November 1. c. The sale of the bonds on November 1. d. The accrual of 1,000 interest on December 31, 2016.
Huang 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
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?