n 1/4/2015 AI Masaacompany issued 1000 bonds the parvalue per bonds 50$, bonds bearinginterest 11% is payable each July12015 & 31/ March 1 2016. Thebonds mature Dec. 2019. Theadusting entries at 31/12/2015 woldbe:Select one:a. None of the optionsO b. OMR1750O c. OMR3750O d. OMR2750 On 1.1 2016 YZ company leasedEquipment from ABC company, thefair value of Equipment OMR680496and useful life of it 5 years withoutresidual value, the lessee paid rentalpayments of OMR123000 at thebeginning of each year. The lessee'sincremental borrowing rate 12%. Theprincipal on 13/12/2016 should be:Select one:a. OMR123000b. None of the optionsc. OMR225495O d. OMR78169

n 1/4/2015 AI Masaa company issued 1000 bonds the par value per bonds 50$, bonds bearing interest 11% is payable each July 12015 & 31/ March 1 2016. The bonds mature Dec. 2019. The adusting entries at 31/12/2015 wold be: Select one: a. None of the options O b. OMR1750 c. OMR3750 O d. OMR2750

n 1/4/2015 AI Masaa company issued 1000 bonds the par value per bonds 50$, bonds bearing interest 11% is payable each July 12015 & 31/ March 1 2016. The bonds mature Dec. 2019. The adusting entries at 31/12/2015 wold be: Select one: a. None of the options O b. OMR1750 c. OMR3750 O d. OMR2750

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 5MC: On January 1, a company issued a 5-year $100,000 bond at 6%. Interest payments on the bond of $6,000...

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Concept explainers

Debenture Valuation

A debenture is a private and long-term debt instrument issued by financial, non-financial institutions, governments, or corporations. A debenture is classified as a type of bond, where the instrument carries a fixed rate of interest, commonly known as the ‘coupon rate.’ Debentures are documented in an indenture, clearly specifying the type of debenture, the rate and method of interest computation, and maturity date.

Note Valuation

It is the process to determine the value or worth of an asset, liability, debt of the company. It can be determined by many processes or techniques. Many factors can impact the valuation of an asset, liability, or the company, like:

Question

n 1/4/2015 AI Masaa
company issued 1000 bonds the par
value per bonds 50$, bonds bearing
interest 11% is payable each July
12015 & 31/ March 1 2016. The
bonds mature Dec. 2019. The
adusting entries at 31/12/2015 wold
be:
Select one:
a. None of the options
O b. OMR1750
O c. OMR3750
O d. OMR2750

On 1.1 2016 YZ company leased
Equipment from ABC company, the
fair value of Equipment OMR680496
and useful life of it 5 years without
residual value, the lessee paid rental
payments of OMR123000 at the
beginning of each year. The lessee's
incremental borrowing rate 12%. The
principal on 13/12/2016 should be:
Select one:
a. OMR123000
b. None of the options
c. OMR225495
O d. OMR78169

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