Required For each of the following situations, calculate the amount of bond discount or premium, if any. (Do not round intermediate calculations.) Premium a. Gray Co. issued $62,000 of 6 percent bonds at 102 1/2 Bush, Inc. issued $87,000 of 10-year, 6 percent bonds at 96 1/2. Discount b. Premium Oak, Inc. issued $217,000 of 20-year, 6 percent bonds at 102. с. Discount d. Willow Co. issued $117,000 of 15-year, 7 percent bonds at 97.

Q: On January 1, 2023, Jones Corporation issued $2.982.000, 9%, 5-year bonds with interest payable on…

A: Interest expense on bonds is calculated at the market rate of interest on the issue value of the…

Q: (a) Waterway Co. sold $1,950,000 of 12%, 10-year bonds at 106 on January 1, 2020. The bonds were…

A:

Q: McNeil Corporation issued $660,000 of 7​% ​10-year bonds. The bonds are dated and sold on January​…

A: While using Effective Interest Method we recognize interest expenses on the basis of effective…

Q: Please I want answer for these questions of multiple choice. Big thanks

A: Hey, Since there are multiple questions posted, we will answer first question. If you want any…

Q: 4) Dolby, Inc. issued a $5,000 face value, 10% , five-year bond at 96. What will be the journal…

A: Bond discount means that the bonds which the company issues to the bond holders are sold out at the…

Q: On January 1, Year 1, Kennard Co. issued $2,000,000, 5%, 10-year bonds, with interest payable on…

A:

Q: For each of the following situations, calculate the amount of bond discount or premium, if any. gray…

A: When the bonds are issued at a price lower than the face value of the bond, they are said to be…

Q: On May 1, 1999, Sun Corp. issued 11% bonds in the face amount of P1,000,000 that mature on May 1,…

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

Q: Terrance Company issued P200,000 of 8%, 5-year bonds at 106. Assuming straight-line amortization and…

A: A bond is a fixed pay instrument issued to represents to an advance made by a financial specialist…

Q: Bonds Payable has a balance of $908,000 and Premium on Bonds Payable has a balance of $9,988. If the…

A: Introduction: Bonds payable are recorded when a company issues bonds to make income. Because it is a…

Q: A company received cash proceeds of 206,948 on a bond issue with a par value of 200,000. the…

A: Accounting's goals include keeping a systematic record of all financial transactions in a book of…

Q: On January 1, Parson Freight Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The…

A: The correct option will be Debit Cash $ 2,143,712; Debit Discount on issue of Bonds Payable $…

Q: Presented below are two independent situations. a.   George Gershwin Co. sold $2,000,000 of 10%,…

A: a. Determine the amount of interest expense to be reported on July 1, 2020, and December 31, 2020.…

Q: Bonds Payable has a balance of $1,000,000, and Discount on Bonds Payable has a balance of $15,500.…

A: Bonds payable are kind of long term debt generally issued by governments and corporations. The…

Q: On January 1, 20x1, an entity issues bonds with face amount of P5,000,000 for P4,800,000. The bonds…

A: As per PFRS 9 Financial instruments ,Issue of bond will be considered as Financial instruments as it…

Q: Bonds Payable has a balance of $962,000 and Premium on Bonds Payable has a balance of $10,582. If…

A: A bond is basically an interest-bearing loan instrument that is issued by the companies in order to…

Q: The following data relate to a $2,000,000, 8% bond issued for a selected semiannual interest period:…

A: (a)The bonds were issued at premium.The bonds were issued at high price ($2,125,000) than the face…

Q: On January 1, 2006, Ward Company issued its 9% bonds in face amount of P4,000,000, which mature on…

A: The bonds are issued at discount when market rate is higher than the coupon rate of bonds payable.

Q: Bonds Payable has a balance of $951,000 and Discount on Bonds Payable has a balance of $11,412. If…

A: Introduction:- The following basic information as follows under:- Bonds Payable has a balance of…

Q: A corporation issues for cash $1,000,000 of 10%, 20-year bonds, interest payable annually, at a time…

A: Bond discount or premium: if a bond issued value is higher than its original value is called Premium…

Q: Bonds Payable has a balance of $896,000 and Premium on Bonds Payable has a balance of $9,856. If the…

A: Redemption of Bonds: The process of repaying the sale amount of bonds to bondholders at the time of…

Q: A company received cash proceeds of $206,948 on a bond issue with a par value of $200,000. The…

A: The difference between the par value received on bonds issued and the premium on bonds payable…

Q: Calculate the total amount of interest expense over the life of the bonds for the following…

A: When Issue price > face value then it implies that the Bond is issued at a premium. When a bond…

Q: On January 1, 20x1, an entity issues bonds with a face amount of P8,000,000 for P8,600,000. The…

A: Introduction:- Bonds are a sort of investment that is utilized in mutual funds and private…

Q: On January 1, Year 1, Kenneth Cole Inc. issued $2,000,000, 5%, 10-year bonds, with interest payable…

A: The bonds are issued at discount when market rate is higher than the stated rate of bonds.

Q: On January 1, 2002, Mar issued its 10% bonds in the face amount of P1,500,000. They mature on…

A: Given, Issue price of bonds = P1,329,000 Interest rate = 12%/2 = 6%

Q: Anne Corp. issued $600,000, 5% bonds.Required:Prepare the necessary journal entries to record the…

A: Sno Account Titles and Explanation  Debit   Credit  A Cash  $ 600,000     5% Bonds Payable    $…

Q: Presented below are two independent situations. (a) Bramble Co. sold $1,930,000 of 12%, 10-year…

A: When bonds are issued at a price more than face value, then it means they are issued at a premium.

Q: Required Compute the cash proceeds from bond issues under the following terms. For each gase,…

A: The binds are the financial instruments used by the business to raise money from the market.

Q: On June 30, Jamison Company issued $2,500,000 of 10-year, 9% bonds, dated June 30, for $2,580,000.…

A: Bonds payable are financial instruments. It representing a company’s commitment to pay back a…

Q: Randolph Company issued $1,000,000 of 6.5%, 8-year bonds dated June 1, 20X3, with semiannual…

A: 1. Bond is issued at premium when issue price of bond is higher than par/face value of bond. As per…

Q: Bonds Payable has a balance of $1,091,000 and Discount on Bonds Payable has a balance of $13,092. If…

A: Step 1: Calculate the carrying amount of bonds payable on the redemption rate.

Q: compute the cash proceeds from bond issues under the following terms. for each case, indicate…

A: a. Compute cash proceeds from Pear Inc. issued bonds as shown below:

Q: anuary 1, 2007, FFF Inc. issued its 10 percent bonds in Face amount of P1,500,000. They mature on…

A: Unamortized bond discount is the difference between a bond's face value and the amount actually paid…

Q: d mature on December 31, 2031. ABC uses the effective interest method of amortizing bond discount.…

A: When bonds are issued a price less than its face value , there is a discount on bonds payable. The…

Q: Bonds Payable has a balance of $5,000,000, and Discount on Bonds Payable has a balance of $150,000.…

A: Calculate gain or loss on the redemption of the bonds payable.

Q: On 1/1/21, Ehrlich Co. issued 4 year bonds with a face value of $700,000. The stated (bond) rate is…

A:

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 January 2, 2001, Northern Co. issued 9% bonds in the amount of ₱500,000, which mature on January…

A: As per the equity method, the value of the financial liability is recognized at fair value and that…

Q: On July 1, 2000, Car issued 9% bonds in the face amount of P1,000,000, which mature on July 1, 2010.…

A: Annual interest payment = Face value of bonds x rate of interest x no. of months/12 = P1,000,000 x…

Q: A corporation issues for cash $1,000,000 of 8%, 20-year bonds, interest payable annually, at a time…

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

Q: Present entries to record the selected transactions described below: a. Issued $2,750,000 of…

A: Bonds are the debt instrument that is used to raise long-term debts. The bonds payable is a…

Q: Compute the cash proceeds from bond issues under the following terms.   Pear, Inc issued $171,000…

A: Introduction: Cash proceeds: Receiving Amount on issue of bonds called as Cash proceeds.

Q: On May 1, Saxophone Corp. issued $300,000, 9%, 10-year bonds for $281,307 when the market rate was…

A: A bond is a fixed pay instrument issued to represent to an advance made by a financial specialist to…

Q: Compute the cash proceeds from bond issues under the following terms. For each case, indicate…

A: Solution: Computation of cash proceeds from bond and same is issued on discount or premium is as…

Q: On January 1, 2002, Mar issued its 10% bonds in the face amount of P1,500,000. They mature on…

A: Issue Price of Bond = 1,329,000 Interest Rate = 12% Per annum Period  = 1/2 years   Interest Expense…