Bramble Corporation had bonds outstanding with a maturity value
of $550,000. On April 30, 2020, when these bonds had an unamortized
discount of $11,000, they were called in at 106. To pay for these
bonds, Bramble had issued other bonds a month earlier bearing a
lower interest rate. The newly issued bonds had a life of 11 years.
The new bonds were issued at 105 (face value $550,000). Issue costs
related to the new bonds were $2,600. All issue costs were
capitalized. Bramble prepares financial statements in accordance
with IFRS.
Ignoring interest, calculate the gain or loss and record this
refunding transaction.
Bramble Corporation had bonds outstanding with a maturity value of $550,000. On April 30, 2020, when...
Novak Company had bonds outstanding with a maturity value of $312,000. On April 30, 2020, when these bonds had an unamortized discount of $10,000, they were called in at 106. To pay for these bonds, Novak had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 101 (face value $312,000). Ignoring interest, compute the gain or loss. Loss on redemption $ Ignoring...
Exercise 14-15 Pharoah Company had bonds outstanding with a maturity value of $272,000. On April 30, 2020, when these bonds had an unamortized discount of $10,000, they were called in at 106. To pay for these bonds, Pharoah had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 103 (face value $272,000). Ignoring interest, compute the gain or loss. Loss on redemption...
Exercise 14-15 Marigold Company had bonds outstanding with a maturity value of $272,000. On April 30, 2017, when these bonds had an unamortized discount of $10,000, they were called in at 106. To pay for these bonds, Marigold had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 103 (face value $272,000) Ignoring interest, compute the gain or loss. Loss on redemption...
Ayayai Company had bonds outstanding with a maturity value of $ 313,000. On April 30, 2017,when these bonds had an unamortized discount of $ 9,000, they were called in at 104. To pay for these bonds, Ayayai had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 102 (face value $ 313,000) lgnoring interest, compute the gain or loss. Loss on redemption...
PLEASE SHOW ALL WORK Skysong Company had bonds outstanding with a maturity value of $322,000. On April 30, 2020, when these bonds had an unamortized discount of $11,000, they were called in at 106. To pay for these bonds, Skysong had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 102 (face value $322,000). Ignoring interest, compute the gain or loss. Loss...
tion of premium on the bonds E14-15 (L01, 2) (Entries for Redemption and Issuance of Bonds) Jason Day Company had bonds outstanding with a maturity value of $300,000. On April 30, 2017, when these bonds had an unamortized discount of $10,000, they were called in at 104. To pay for these bonds, Day had issued other bonds a month earlier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued...
nent CALCULATOoR ULL SCREEN Exercise 14-15 To pay for these bonds, Blossom had issued other bonds a month eartier bearing a lower interest rate. The newly issued bonds had a life of 10 years. The new bonds were issued at 101 (face value $312,000) Ignoring interest, compute the gain or loss. Loss on redermption Ignoring i Account Titles and Explanation Interest, record this refunding transaction. (If no entry is required, select "No Entry" for the account tities and enter o...
Exercise 14-21 Teal Mountain Inc. had outstanding $11 million of 9.00% bonds (interest payable March 31 and September 30) due in 12 years. Teal Mountain was able to reduce its risk rating through investing in more real estate. As a result, on September 1, it issued $6 million of 10-year, 7% bonds (interest payable July 1 and January 1) at 96. A portion of the proceeds was used to call the 9.00% bonds at 106 on October 1. The unamortized...
Sarasota, Inc. had outstanding $6,340,000 of 11% bonds (interest payable July 31 and January 31) due in 10 years. On July 1, it issued $8,570,000 of 10%, 15-year bonds (interest payable July 1 and January 1) at 98. A portion of the proceeds was used to call the 11% bonds (with unamortized discount of $190,200) at 103 on August 1. Prepare the journal entries necessary to record issue of the new bonds and the refunding of the bonds.
Crane, Inc. had outstanding $5,860,000 of 11% bonds (interest payable July 31 and January 31) due in 10 years. On July 1, it issued $9,880,000 of 11%, 15-year bonds (interest payable July 1 and January 1) at 97. A portion of the proceeds was used to call the 11% bonds (with unamortized discount of $58,600) at 101 on August 1. Prepare the journal entries necessary to record issue of the new bonds and the refunding of the bonds. (To record...