Question

January 15 2016 and were The Mariner Company, a calendar-year corporation, issued $500,000 of $1.000 so bonds at a price generating a 4% yield. The bonds were dated January 15 2016 issued that day. The bonds mature January 15 2026. The bonds pay interest Semi annually on July 15 and January 1st of each year. 1. Using the straight-line method of amortization and the effective interest ra method of amortization prepare an amortization schedule for the bonds listin a. Date - semiannual interest payment date. b. Cash paid for the period. c. Interest Expense for the period. d. Amortization of any premium or discount for the period e. Unamortized premium or discount at the end of the period. f. Ending carrying value 2. Using the effective interest rate method, prepare an amortization schedule listing the same items in #1, a-f. 3. Assume the yield is 6 % in the problem above. Prepare an amortization schedule for the bonds, list the same information in question 1, "a f" under the straight- line method of amortization. 4. Assume the yield is 6% in the problem above. Prepare an amortization schedule for the bonds, listed in question 1, "a f"under the effective interest rate method of amortization. 5. Using a market rate of 6% and straight-line amortization, what is the journal entry if the bonds are retired on December 31, 2020 for 102? Assume any bond interest at December 31, 2020 has already been paid.

Answer 1

3 Face Value $ 500,000.00 4 Coupon Rate (5%/2) 2.50% 5 Coupon Payment (500,00 $ 12,500.00 6 Rate = 4%/2 2.00% 7 Period = 10 x 2 8 Present Value $540,878.58 9 10 1) Under the straight line method of amortization 11 a. Date - semiannual inte b. Cash paid for the period c . Interest Expe d. Amortization of pre e. Unamortized prem f. Ending carrying value 1-Jan-16 $40,878.58 $540,878.58 1-Jul-16 $ 12,500.00 $ 10,456.07 $2,043.93 $38,834.65 $538,834.65 1-Jan-17 $ 12,500.00 $ 10,456.07 $2,043.93 $36,790.73 $536,790.73 1-Jul-17 $ 12,500.00 $ 10,456.07 $2,043.93 $34,746.80 $534,746.80 1-Jan-18 $ 12,500.00 $ 10,456.07 $2,043.93 $32,702.87 $532,702.87 1-Jul-18 $ 12,500.00 $ 10,456.07 $2,043.93 $30,658.94 $530,658.94 1-Jan-19 $ 12,500.00 $ 10,456.07 $2,043.93 $28,615.01 $528,615.01 1-Jul-19 $ 12,500.00 $ 10,456.07 $2,043.93 $26,571.08 $526,571.08 1-Jan-20 $ 12,500.00 $ 10,456.07 $2,043.93 $24,527.15 $524,527.15 1-Jul-20 $ 12,500.00 $ 10,456.07 $2,043.93 $22,483.22 $522,483.22 1-Jan-21 $ 12,500.00 $ 10,456.07 $2,043.93 $20,439.29 $520,439.29 1-Jul-21 $ 12,500.00 $ 10,456.07 $2,043.93 $18,395.36 $518,395.36 1-Jan-22 $ 12,500.00 $ 10,456.07 $2,043.93 $16,351.43 $516,351.43 1-Jul-22 $ 12,500.00 $ 10,456.07 $2,043.93 $14,307.50 $514,307.50 1-Jan-23 $ 12,500.00 $ 10,456.07 $2,043.93 $12,263.58 $512,263.58 1-Jul-23 $ 12,500.00 $ 10,456.07 $2,043.93 $10,219.65 $510,219.65 1-Jan-24 $ 12,500.00 $ 10,456.07 $2,043.93 $8,175.72 $508,175.72 1-Jul-24 $ 12,500.00 $ 10,456.07 $2,043.93 $6,131.79 $506,131.79 1-Jan-25 $ 12,500.00 $ 10,456.07 $2,043.93 $4,087.86 $504,087.86 1-Jul-25 $ 12,500.00 $ 10,456.07 $2,043.93 $2,043.93 $502,043.93 32 1-Jan-26 $ 12,500.00 $ 10,456.07 $2,043.93 $0.00 $500,000.00 33 2) Under the effective interest rate method of amortization 35 a. Date - semiannual inte b. Cash paid for the period c . Interest Expe d. Amortization of pre e. Unamortized prem f. Ending carrying value 1-Jan-16 $40,878.58 $540,878.58 1-Jul-16 $ 12,500.00 $ 10,817.57 $ 1,682.43 $39,196.16 $539,196.16 1-Jan-17 $ 12,500.00 $ 10,783.92 $ 1,716.08 $37,480.08 $537,480.08 1-Jul-17 $ 12,500.00 $ 10,749.60 $ 1,750.40 $35,729.68 $535,729.68 1-Jan-18 $ 12,500.00 $ 10,714.59 $ 1,785.41 $33,944.27 $533,944.27 1-Jul-18 $ 12,500.00 $ 10,678.89 $ 1,821.11 $32,123.16 $532,123.16 1-Jan-19 $ 12,500.00 $ 10,642.46 $ 1,857.54 $30,265.62 $530,265.62 1-Jul-19 $ 12,500.00 $ 10,605.31 $ 1,894.69 $28,370.93 $528,370.93 1-Jan-20 $ 12,500.00 $ 10,567.42 $ 1,932.58 $26,438.35 $526,438.35 1-Jul-20 $ 12,500.00 $ 10,528.77 $ 1,971.23 $24,467.12 $524,467.12 1-Jan-21 $ 12,500.00 $ 10,489.34 $ 2,010.66 $22,456.46 $522,456.46 1-Jul-21 $ 12,500.00 $ 10,449.13 $ 2,050.87 $20,405.59 $520,405.59


1-Jan-22 $ 1-Jul-22 $ 1-Jan-23 $ 1-Jul-23 $ 1-Jan-24 $ 1-Jul-24 $ 1-Jan-25 $ 1-Jul-25 $ 1-Jan-26 $ 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 $ $ $ $ $ $ $ $ $ 10,408.11 10,366.27 10,323.60 10,280.07 10,235.67 10,190.39 10,144.19 10,097.08 10,049.02 $ $ $ $ $ $ $ $ $ 2,091.89 2,133.73 2,176.40 2,219.93 2,264.33 2,309.61 2,355.81 2,402.92 2,450.98 $18,313.70 $16,179.98 $14,003.58 $11,783.65 $9,519.32 $7,209.71 $4,853.90 $2,450.98 $0.00 $518,313.70 $516,179.98 $514,003.58 $511,783.65 $509,519.32 $507,209.71 $504,853.90 $502,450.98 $500,000.00

- Name Box 33 Fole vaiue $ 60 Coupon Rate (5%/2) 61 Coupon Payment (500,00 $ 62 Rate = 6%/2 63 Period = 10 x 2 64 Present Value 500,000.00 2.50% 12,500.00 3.00% 20 $462,806.31 31 Under the straight line method of amortization 67 a. Date - semiannual inte b. Cash paid for the period c. Interest Expe d. Amortization of dis e. Unamortized discoif. Ending carrying value 1-Jan-16 $ 37,193.69 $462,806.31 1-Jul-16 $ 12,500.00 $ 10,640.32 $1,859.68 $35,334.00 $464,666.00 1-Jan-17 $ 12,500.00 $ 10,640.32 $1,859.68 $33,474.32 $466,525.68 1-Jul-17 $ 12,500.00 $ 10,640.32 $1,859.68 $31,614.63 $468,385.37 1-Jan-18 $ 12,500.00 $ 10,640.32 $1,859.68 $29,754.95 $470,245.05 1-Jul-18 $ 12,500.00 $ 10,640.32 $1,859.68 $27,895.27 $472,104.73 1-Jan-19 $ 12,500.00 $ 10,640.32 $1,859.68 $26,035.58 $473,964.42 1-Jul-19 $ 12,500.00 $ 10,640.32 $1,859.68 $24,175.90 $475,824.10 1-Jan-20 $ 12,500.00 $ 10,640.32 $1,859.68 $22,316.21 $477,683.79 1-Jul-20 $ 12,500.00 $ 10,640.32 $1,859.68 $20,456.53 $479,543.47 1-Jan-21 $ 12,500.00 $ 10,640.32 $1,859.68 $18,596.84 $481,403.16 1-Jul-21 $ 12,500.00 $ 10,640.32 $1,859.68 $16,737.16 $483,262.84 1-Jan-22 $ 12,500.00 $ 10,640.32 $1,859.68 $14,877.47 $485,122.53 1-Jul-22 $ 12,500.00 $ 10,640.32 $1,859.68 $13,017.79 $486,982.21 1-Jan-23 $ 12,500.00 $ 10,640.32 $1,859.68 $11,158.11 $488,841.89 1-Jul-23 $ 12,500.00 $ 10,640.32 $1,859.68 $9,298.42 $490,701.58 1-Jan-24 $ 12,500.00 $ 10,640.32 $1,859.68 $7,438.74 $492,561.26 1-Jul-24 $ 12,500.00 $ 10,640.32 $1,859.68 $5,579.05 $494,420.95 1-Jan-25 $ 12,500.00 $ 10,640.32 $1,859.68 $3,719.37 $496,280.63 1-Jul-25 $ 12,500.00 $ 10,640.32 $1,859.68 $1,859.68 $498,140.32 1-Jan-26 $ 12,500.00 $ 10,640.32 $1,859.68 $0.00 $500,000.00 90 4) Under the effective interest rate method of amortization c. Interest d. Amortization of a. Date - semiannual Expense for discount for the 92 interest payment date b. Cash paid for the period the period. period 1-Jan-16 1-Jul-16 $ 12,500.00 $ 13,884.19 $ 1,384.19 1-Jan-17 $ 12,500.00 $ 13,925.72 $ 1,425.72 1-Jul-17 $ 12,500.00 $ 13,968.49 $ 1,468.49 1-Jan-18 $ 12,500.00 $ 14,012.54 $ 1,512.54 1-Jul-18 $ 12,500.00 $ 14,057.92 $ 1,557.92 1-Jan-19 $ 12,500.00 $ 14,104.65 $ 1,604.65 1-Jul-19 $ 12,500.00 $ 14,152.79 $ 1,652.79 1-Jan-20 $ 12,500.00 $ 14,202.38 $ 1,702.38 e. Unamortized discount at the end of the period f. Ending carrying value $37,193.69 $462,806.31 $35,809.50 $464,190.50 $34,383.78 $465,616.22 $32,915.30 $467,084.70 $31,402.76 $468,597.24 $29,844.84 $470,155.16 $28,240.18 $471,759.82 $26,587.39 $473,412.61 $24,885.01 $475,114.99
1-Jan-20 $ 1-Jul-20 $ 1-Jan-21 $ 1-Jul-21 $ 1-Jan-22 $ 1-Jul-22 $ 1-Jan-23 $ 1-Jul-23 $ 1-Jan-24 $ 1-Jul-24 $ 1-Jan-25 $ 1-Jul-25 $ 1-Jan-26 $ 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 12,500.00 $ 14,202.38 $ $ 14,253.45 $ $ 14,306.05 $ $ 14,360.23 $ $ 14,416.04 $ $ 14,473.52 $ $ 14,532.73 $ $ 14,593.71 $ $ 14,656.52 $ $ 14,721.22 $ $ 14,787.85 $ $ 14,856.49 $ $ 14,927.18 $ 1,702.38 1,753.45 1,806.05 1,860.23 1,916.04 1,973.52 2,032.73 2,093.71 2,156.52 2,221.22 2,287.85 2,356.49 2,427.18 $24,885.01 $23,131.56 $21,325.51 $19,465.27 $17,549.23 $15,575.71 $13,542.98 $11,449.27 $9,292.75 $7,071.53 $4,783.67 $2,427.18 ($0.00) $475,114.99 $476,868.44 $478,674.49 $480,534.73 $482,450.77 $484,424.29 $486,457.02 $488,550.73 $490,707.25 $492,928.47 $495,216.33 $497,572.82 $500,000.00 -15 5) 16 Journal Entry 17 Bonds Payable 18 Loss on retirement of bor Discount on bonds payable Cash (500,000 x 102%) 500,000.00 $31,325.51 $21,325.51 $ 510,000.00
			c. Interest Expense for the period.	d. Amortization of  discount  for the period	e. Unamortized discount at the end of the period	f. Ending carrying value
					$              37,193.69	$462,806.31
			$    10,640.32	$1,859.68	$35,334.00	$464,666.00
			$    10,640.32	$1,859.68	$33,474.32	$466,525.68
			$    10,640.32	$1,859.68	$31,614.63	$468,385.37
			$    10,640.32	$1,859.68	$29,754.95	$470,245.05
			$    10,640.32	$1,859.68	$27,895.27	$472,104.73
			$    10,640.32	$1,859.68	$26,035.58	$473,964.42
			$    10,640.32	$1,859.68	$24,175.90	$475,824.10
			$    10,640.32	$1,859.68	$22,316.21	$477,683.79
			$    10,640.32	$1,859.68	$20,456.53	$479,543.47
			$    10,640.32	$1,859.68	$18,596.84	$481,403.16
			$    10,640.32	$1,859.68	$16,737.16	$483,262.84
			$    10,640.32	$1,859.68	$14,877.47	$485,122.53
			$    10,640.32	$1,859.68	$13,017.79	$486,982.21
			$    10,640.32	$1,859.68	$11,158.11	$488,841.89
			$    10,640.32	$1,859.68	$9,298.42	$490,701.58
			$    10,640.32	$1,859.68	$7,438.74	$492,561.26
			$    10,640.32	$1,859.68	$5,579.05	$494,420.95
			$    10,640.32	$1,859.68	$3,719.37	$496,280.63
			$    10,640.32	$1,859.68	$1,859.68	$498,140.32
			$    10,640.32	$1,859.68	$0.00	$500,000.00
			c. Interest Expense for the period.	d. Amortization of  discount  for the period	e. Unamortized discount at the end of the period	f. Ending carrying value
					$37,193.69	$462,806.31
			$    13,884.19	$                                  1,384.19	$35,809.50	$464,190.50
			$    13,925.72	$                                  1,425.72	$34,383.78	$465,616.22
			$    13,968.49	$                                  1,468.49	$32,915.30	$467,084.70
			$    14,012.54	$                                  1,512.54	$31,402.76	$468,597.24
			$    14,057.92	$                                  1,557.92	$29,844.84	$470,155.16
			$    14,104.65	$                                  1,604.65	$28,240.18	$471,759.82
			$    14,152.79	$                                  1,652.79	$26,587.39	$473,412.61
			$    14,202.38	$                                  1,702.38	$24,885.01	$475,114.99
			$    14,253.45	$                                  1,753.45	$23,131.56	$476,868.44
			$    14,306.05	$                                  1,806.05	$21,325.51	$478,674.49
			$    14,360.23	$                                  1,860.23	$19,465.27	$480,534.73
			$    14,416.04	$                                  1,916.04	$17,549.23	$482,450.77
			$    14,473.52	$                                  1,973.52	$15,575.71	$484,424.29
			$    14,532.73	$                                  2,032.73	$13,542.98	$486,457.02
			$    14,593.71	$                                  2,093.71	$11,449.27	$488,550.73
			$    14,656.52	$                                  2,156.52	$9,292.75	$490,707.25
			$    14,721.22	$                                  2,221.22	$7,071.53	$492,928.47
			$    14,787.85	$                                  2,287.85	$4,783.67	$495,216.33
			$    14,856.49	$                                  2,356.49	$2,427.18	$497,572.82
			$    14,927.18	$                                  2,427.18	($0.00)	$500,000.00
3 Face Value 4 Coupon Rate (5%/2) 5 Coupon Payment (500,000 x 2.5%) 6 Rate = 4%/2 7 Period = 10 x 2 8 Present Value 500000 =5%/2 =B3 B4 =4%/2 = 102 =PV(B6,B7,-B5,-B3) Under the straight line method of amortization b. Cash paid for the period 10 1) 11 a. Date - semiannual interest payment date 12 42370 13 42552 14 42736 15 42917 16 43101 17 43282 18 43466 19 43647 20 43831 21 44013 22 44197 23 44378 24 44562 25 44743 26 44927 27 45108 28 45292 29 45474 30 45658 31 45839 32 46023 332) =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 c. Interest Expense for the period. Amortization of premium for the period e. Unamortized premium at the end of the ff. Ending carrying value =B8-B3 =B8 =B13-013 =$E$12/20 =E12-D13 =F12-D13 =B14-D14 =$E$12/20 =E13-D14 =F13-D14 =B15-D15 =$E$12/20 =E14-D15 =F14-D15 =B16-D16 =$E$12/20 E15-D16 F15-D16 =B17-D17 =$E$12/20 =E16-D17 =F16-017 =B18-D18 =$E$12/20 =E17-D18 =F17-018 =B19-D19 =$E$12/20 =E18-D19 =F18-019 =B20-D20 =$E$12/20 =E19-D20 =F19-D20 =B21-D21 =$E$12/20 =E20-D21 =F20-D21 =B22-D22 =$E$12/20 =E21-D22 =F21-D22 =B23-D23 =$E$12/20 -E22-D23 =F22-D23 =B24-D24 =$E$12/20 =E23-D24 =F23-D24 =B25-D25 =$E$12/20 =E24-D25 =F24-D25 =B26-D26 =$E$12/20 =E25-D26 =F25-D26 =B27-D27 =$E$12/20 =E26-D27 =F26-D27 =B28-D28 =$E$12/20 =E27-D28 =F27-D28 =B29-D29 =$E$12/20 =E28-D29 =F28-D29 =B30-D30 =$E$12/20 =E29-D30 =F29-D30 =B31-D31 =$E$12/20 =E30-031 =F30-D31 =B32-D32 =$E$12/20 =E31-032 =F31-D32 Under the effective interest rate method of amortization b. Cash paid for the period 35 a. Date - semiannual interest payment date 36 42370 37 42552 38 42736 39 42917 40 43101 41 43282 42 43466 43 43647 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 c. Interest Expense for the period. Amortization of premium for the period e. Unamortized premium at the end of the ff. Ending carrying value =E12 =F12 =F36*$B$6 =B37-C37 =E36-D37 =F36-D37 =F37*$B$6 =B38-C38 =E37-D38 =F37-D38 =F38*$B$6 =B39-C39 =E38-D39 =F38-D39 =F39 $B$6 =B40-C40 =E39-D40 =F39-D40 =F40*$B$6 =B41-C41 =E40-041 =F40-041 =F41 $B$6 =B42-C42 =E41-042 =F41-D42 =F42 $B$6 =B43-C43 =E42-D43 =F42-043
			$21,325.51
			$  510,000.00

44 43831 45 44013 46 44197 47 44378 48 44562 49 44743 50 44927 51 45108 52 45292 53 45474 54 45658 55 45839 56 46023 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =$B$5 =F43$B$6 =F44*$B$6 =F45 $B$6 =F46 $B$6 =F47*$B$6 =F48*$B$6 =F49*$B$6 =F50*$B$6 =F51$B$6 =F52*$B$6 =F53*$B$6 =F54*$B$6 =F55 $B$6 =B44-044 =B45-C45 =B46-C46 =B47-C47 =B48-C48 =B49-C49 =B50-C50 =B51-C51 =B52-C52 =B53-C53 =B54-C54 =B55-C55 =B56-C56 =E43-044 =E44-045 =E45-146 =E46-D47 =E47-D48 =E48-D49 =E49-D50 -E50-051 =E51-D52 =E52-D53 =E53-054 =E54-D55 =E55-D56 =F43-044 =F44-D45 =F45-D46 =F46-D47 =F47-D48 =F48-D49 =F49-D50 =F50-D51 =F51-D52 =F52-D53 =F53-054 =F54-D55 =F55-D56 59 Face Value 60 Coupon Rate (5%/2) 61 Coupon Payment (500,000 x 2.5%) 62 Rate = 6%/2 63 Period = 10 x 2 64 Present Value 500000 =5%/2 =B59*B60 =6%/2 =10*2 =PV(B62,363,-361,-359) Under the straight line method of amortization . Cash paid for the period b c. Interest Expense for the period. Amortization of discount for the period 66 3) 67 a. Date - semiannual interest payment date 68 42370 69 42552 70 42736 71 42917 72 43101 73 43282 74 43466 75 43647 76 43831 77 44013 78 44197 79 44378 80 44562 81 44743 82 44927 83 45108 84 45292 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =B69-D69 =B70-D70 =B71-D71 =B72-D72 =B73-D73 =B74-D74 =B75-D75 =B76-D76 =B77-D77 =B78-D78 =B79-D79 =B80-D80 =B81-D81 =B82-D82 =B83-D83 =B84-D84 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 e. Unamortized discount at the end of the p f. Ending carrying value =B59-364 =B64 =E68-D69 =F68+D69 =E69-D70 =F69+D70 =E70-D71 =F70+D71 =E71-D72 =F71+D72 =E72-073 =F72+D73 =E73-D74 =F73+D74 =E74-D75 =F74+D75 =E75-D76 =F75+D76 =E76-D77 =F76+D77 =E77-078 =F77+D78 =E78-D79 =F78+D79 =E79-D80 =F79+D80 =E80-081 =F80+D81 =E81-082 =F81+D82 =E82-D83 =F82+D83 =E83-D84 =F83+D84


85 45474 86 45658 87 45839 88 46023 =$B$61 =$B$61 =$B$61 =$B$61 =B85-D85 =B86-D86 =B87-D87 =B88 D88 =$E$68/20 =$E$68/20 =$E$68/20 =$E$68/20 =E84-D85 =E85-D86 =E86-187 =E87-D88 =F84+D85 =F85+D86 =F86+087 =F87+D88 90 4) Under the effective interest rate method of amortization c. Interest Expense for the period. b. Cash paid for the period d. Amortization of discount for the period 92 a. Date - semiannual interest payment date 93 42370 94 42552 95 42736 96 42917 97 43101 98 43282 99 43466 100 43647 101 43831 102 44013 103 44197 104 44378 105 44562 106 44743 107 44927 108 45108 109 45292 110 45474 111 45658 112 45839 113 46023 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =$B$61 =F93 $B$62 =F94*$B$62 =F95 $B$62 =F96 $B$62 =F97*$B$62 =F98*$B$62 =F99 $B$62 =F100*$B$62 =F101 $B$62 =F102 $B$62 =F103 $B$62 =F104 $B$62 =F105 $B$62 =F106 $B$62 =F107* $B$62 =F108*$B$62 =F109 $B$62 =F110*$B$62 =F111*$B$62 =F112 $B$62 =C94-B94 =C95-B95 =C96-B96 =C97-B97 =C98-898 =C99-B99 =C100-B100 =C101-B101 =C102-B102 =C103-B103 =C104-B104 =C105-B105 =C106-B106 =C107-B107 =C108-B108 =C109-B109 =C110-1110 =C111-1111 =C112-B112 =C113-B113 e. Unamortized discount at the end of the period =E68 =E93-D94 -E94-D95 =E95-D96 =E96-D97 =E97-D98 = E98-199 = E99-0100 =E100-D101 =E101-1102 =E102-D103 =E103-D104 =E104-D105 =E105-D106 =E106-D107 =E107-D108 =E108-D109 =E109-D110 =E110-1111 =E111-0112 =E112-D113 f. Ending carrying value =F68 =F93+D94 =F94+D95 =F95+D96 =F96+D97 =F97+D98 =F98+D99 =F99+D100 =F100+D101 =F101+D102 =F102+D103 =F103+D104 =F104+D105 =F105+D106 =F106+D107 =F107+D108 =F108+D109 =F109+D110 =F110+D111 =F111+D112 =F112+D113 114 1155) 116 Journal Entry 117 Bonds Payable 118 Loss on retirement of bonds 119 Discount on bonds payable Cash (500,000 x 102%) 121 500000 =C119+C120-B117 =E103 =B117.102% 720