Question

On January 1, 2018, Mechanics Credit Union (MCU) issued 6%, 20-year bonds payable with face value of $900,000. These bonds pa

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Since only issuance of bonds have been asked to pass journal, below is the answer.

Total Face Value of the Bonds issued is $900,000

Debit - Cash / Bank - $900,00

Credit - Bonds Payable - $900,000

Add a comment
Know the answer?
Add Answer to:
On January 1, 2018, Mechanics Credit Union (MCU) issued 6%, 20-year bonds payable with face value...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • On January 1, 2018, Engineers Credit Union (ECU) issued 8%, 20-year bonds payable with face value...

    On January 1, 2018, Engineers Credit Union (ECU) issued 8%, 20-year bonds payable with face value of $900,000. The bonds pay interest on June 30 and December 31 Read the requirements Requirement 1 . If the market interest rate is 7% when ECU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain The 8% bonds issued when the market interest rate is 7% will be priced at la premium ....

  • On January 1, 2018, Teachers Credit Union (TCU) issued 5%, 20 year bonds payable with face...

    On January 1, 2018, Teachers Credit Union (TCU) issued 5%, 20 year bonds payable with face value of $600,000. These bonds pay interest on June 30 and December 31. The issue price of the bonds is 108. Joumalize the following bond transactions (Click the icon to view the bond transactions.) (Assume bonds payable are amortured using the straight-line amortization method. Record debits first, the credits. Select explanations on the last line of the journal entry. Round your answers to the...

  • On January 1, 2018, Professors Credit Union (PCU) issued 7%, 20-year bonds payable with face value...

    On January 1, 2018, Professors Credit Union (PCU) issued 7%, 20-year bonds payable with face value of $100,000. The bonds pay interest on June 30 and December 31. Read the requirements. Requirement 1. If the market interest rate is 5% when PCU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. The 7% bonds issued when the market interest rate is 5% will be priced at 7. They are in...

  • On January 1, 2018, Nurses Credit Union (NCU) issued 8%, 20-year bonds payable with face value...

    On January 1, 2018, Nurses Credit Union (NCU) issued 8%, 20-year bonds payable with face value of $600,000. The bonds pay interest on June 30 and December 31. Read the requirements. Requirement 1. If the market interest rate is 7% when NCU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. The 8% bonds issued when the market interest rate is 7% will be priced at V. They are in...

  • On January 1, 2018, Aaron Unlimited issues 8%, 20-year bonds payable with a face value of...

    On January 1, 2018, Aaron Unlimited issues 8%, 20-year bonds payable with a face value of $240,000. The bonds are issued at 104 and pay interest on June 30 and December 31. (Assume bonds payable are amortized using the straight-line amortization method.) Read the requirements. Requirements Requirement 1. Journalize the i s on the last line of the journal entry) Date Accd 2018 Jan. 1 1. Journalize the issuance of the bonds on January 1, 2018. 2. Journalize the semiannual...

  • On January​ 1, 2018​, Noah Unlimited issues 12​%, 20​-year bonds payable with a face value of...

    On January​ 1, 2018​, Noah Unlimited issues 12​%, 20​-year bonds payable with a face value of $180,000. The bonds are issued at 103 and pay interest on June 30 and December 3. ​(Assume bonds payable are amortized using the​ straight-line amortization​ method.) 1. Journalize the issuance of the bonds on January​ 1, 2018. 2. Journalize the semiannual interest payment and amortization of bond premium on June​ 30, 2018. 3. Journalize the semiannual interest payment and amortization of bond premium on...

  • Please answer all parts A-D On January 1, 2018, Eastside Credit Union (ECU) issued 5%, 20-year...

    Please answer all parts A-D On January 1, 2018, Eastside Credit Union (ECU) issued 5%, 20-year bonds payable with face value of $200,000. These bonds pay interest on June 30 and December 31. The issue price of the bonds is 101. Journalize the following bond transactions: A (Click the icon to view the bond transactions.) (Assume bonds payable are amortized using the straight-line amortization method. Record debits first, then credits. Select explanations on the last line of the journal entry....

  • PIZ-35A Analyzing and journalizing bond transactions On January 1, 2018, Educators Credit Union (ECU) issued 8%...

    PIZ-35A Analyzing and journalizing bond transactions On January 1, 2018, Educators Credit Union (ECU) issued 8%, 20-year bonds payabl with face value of $1,000,000. These bonds pay interest on June 30 and December 31. The issue price of the bonds is 109. Journalize the following bond transactions: a. Issuance of the bonds on January 1, 2018 b. Payment of interest and amortization on June 30, 2018 c. Payment of interest and amortization on December 31, 2018. d. Retirement of the...

  • Please answer all parts On January 1, 2018, Nurses Credit Union (NCU) issued 8%, 20-year bonds...

    Please answer all parts On January 1, 2018, Nurses Credit Union (NCU) issued 8%, 20-year bonds payable with face value of $600,000. The bonds pay interest on June 30 and December 31. Read the requirements. Requirement 1. If the market interest rate is 7% when NCU issues its bonds, will the bonds be priced at face value, at a premium, or at a discount? Explain. The 8% bonds issued when the market interest rate is 7% will be priced at...

  • On June 30 Daewood Limited issues 6%, 20 year bonds payable with a face value of...

    On June 30 Daewood Limited issues 6%, 20 year bonds payable with a face value of $70,000. The bonds are issued at 90 and pay interest on June 30 and 31. (Assume bonds payable are amortized using the straight line amortization method.) Requirements 1. Journalize the issuance of the bonds on June 30. 2. Journalize the semiannual interest payment and amortization of the bond discount on December 31 Requirement 1. Joumalize the issuance of the bonds on June 30. (Record...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT