: Fish All Day, LLC issues 8%, 20-year bonds with a par value of $500,000 on January 2 when the market rate is 9%. The company pays interest semi-annually on June 30 and December 31. Fish All Day, LLC received $480,000 at issuance. Prepare the journal entries to record the issuance of the bond and the first interest payment using straight-line amortization. (Round to the dollar) (23 points)
Date | Accounts | Debit | Credit |
January 2 | Cash | 480000 | |
Discount on bonds payable | 20000 | ||
Bonds payable | 500000 | ||
Jan 30 | Interest expense | 20500 | |
Cash (500000*8%*6/12) | 20000 | ||
Discount on bonds payable (20000/40) | 500 |
: Fish All Day, LLC issues 8%, 20-year bonds with a par value of $500,000 on...
Fish All Day, LLC issues 8%, 20-year bonds with a par value of $500,000 on January 2 when the market rate is 9%. The company pays interest semi-annually on June 30 and December 31. Fish All Day, LLC received $480,000 at issuance. Prepare the journal entries to record the issuance of the bond and the first interest payment using straight-line amortization. (Round to the dollar) (23 points)
ccounting II Fall 2019 Evening Name: Gina Kazmaier am 1 oblem 5: Fish All Day, LLC issues 8%, 20-year bonds with a par value of $500,000 on January 2 when the market rate is 9%. The company pays interest semi-annually on June 30 and December 31. Fish All Day, LLC received $480,000 at issuance. Prepare the journal entries to record the issuance of the bond and the first interest payment using straight-line amortization. (Round to the dollar) (23 points) Credit...
Wookie Company issues 7%, five-year bonds, on January 1 of this year, with a par value of $106,000 and semiannual interest payments. Semi annual Period-End January 1, issuance June 30, first payment December 31, second payment Unamortized Premium $8,231 7, 408 6,585 Carrying Value $114, 231 113, 408 112, 585 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30....
Paulson Company issues 8%, four-year bonds, on January 1 of this year, with a par value of $92,000 and semiannual interest payments. Semiannual Period-End Unamortized Discount Carrying Value (0) January 1, issuance $ 6,573 $ 85,427 (1) June 30, first payment 5,751 86,249 (2) December 31, second payment 4,929 87,071 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30....
Paulson Company issues 10%, four-year bonds, on January 1 of this year, with a par value of $93,000 and semiannual interest payments. Semiannual Period-End Unamortized Discount Carrying Value (0) January 1, issuance $ 6,593 $ 86,407 (1) June 30, first payment 5,769 87,231 (2) December 31, second payment 4,945 88,055 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30....
Wookie Company issues 6%, five-year bonds, on January 1 of this year, with a par value of $93,000 and semiannual interest payments. Semiannual Period-End Unamortized Premium Carrying Value (0) January 1, issuance $ 7,971 $ 100,971 (1) June 30, the first payment 7,174 100,174 (2) December 31, the second payment 6,377 99,377 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on...
Paulson Company issues 10%, four-year bonds, on January 1 of this year, with a par value of $93,000 and semiannual interest payments. Semiannual Period-End Unamortized Discount Carrying Value (0) January 1, issuance $ 6,593 $ 86,407 (1) June 30, the first payment 5,769 87,231 (2) December 31, second payment 4,945 88,055 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June...
Paulson Company issues 6%, four-year bonds, on January 1 of this year, with a par value of $90,000 and semiannual interest payments. Semiannual Period-EndUnamortized DiscountCarrying Value(0)January 1, issuance$6,533$83,467(1)June 30, first payment5,71684, 284 (2)December 31, second payment4,89985, 101Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30. (c) The second interest payment on December 31.
Wookie Company issues 7%, five-year bonds, on January 1 of this year, with a par value of $99,000 and semiannual interest payments (0) (1) (2) Seniannual Period-End January 1, 15 sunce June 30, first payment December 31. second payment Unamortized Premium $8.091 7.282 Carrying Value $107.091 106, 282 105, 473 6. 473 Use the above straight-line bond amortization table and prepare journal entries for the following (a) The issuance of bonds on January 1 (b) The first interest payment on...
Wookie Company issues 6%, five-year bonds, on January 1 of this year, with a par value of $107,000 and semiannual interest payments. (0) (1) (2) Semiannual Period-End January 1, issuance June 30, first payment December 31, second payment Unamortized Premium $8,251 7,426 6,601 Carrying Value $115, 251 114,426 113,601 points Use the above straight-line bond amortization table and prepare journal entries for the following. (8 02:21:54 (a) The issuance of bonds on January 1. (b) The first interest payment on...