BU curriculum corporation issued $900,000 of 8% bonds on November 1, 2018, due on November 1,...
BU curriculum corporation issued $900,000 of 8% bonds on November 1, 2018, due on November 1, 2023. The interest is to be paid twice a year on Nov. 1 and May 1. The bonds were sold to yield 10% effective annual interest. BU curriculum corporation closes its books annually on December 31.
A.) Compute the interest expense to be reported in the income statement for the year ended December 31, 2018 and December 31, 2019
B.) Complete an amortization schedule for the above bond (for all periods) using the Straight-line amortization method (entries are not required).
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BU curriculum corporation issued $900,000 of 8% bonds on
November 1, 2018, due on November 1,...
BU curriculum corporation issued $900,000 of 8% bonds on November 1, 2018, due on November 1,...
BU curriculum corporation issued $900,000 of 8% bonds on November 1, 2018, due on November 1, 2023. The interest is to be paid twice a year on Nov. 1 and May 1. The bonds were sold to yield 10% effective annual interest. BU curriculum corporation closes its books annually on December 31. A. Complete an amortization schedule for the above bond (for all periods) in a similar format as below. (round all answers to nearest dollar.) Use the effective interest...
BU Curriculum Corporation issued $900,000 of 8% on November 1, 2018, due on November 1, 2023....
BU Curriculum Corporation issued $900,000 of 8% on November 1, 2018, due on November 1, 2023. The interest is to be paid twice a year on Nov. 1 and May 1. The bonds were sold to yield 10% effective annual interest. BU Curriculum Corporation closes its books annually on December 31. Date Credit Cash Debit Interest Expense Credit Bond Discount Carrying Amount of Bonds Nov. 1, 2018 May. 1, 2019 (continue schedule using excel) Complete an amortization schedule for...
BU Curriculum Corporation issued $900,000 of 8% bonds on November 1, 2018, due on November 1,...
BU Curriculum Corporation issued $900,000 of 8% bonds on November 1, 2018, due on November 1, 2023. The interest is to be paid on Nov. 1 and May. 1. The bonds were sold to yield 10% effective annual interest. BU Curriculum Corporation closes its books annually on December 31. (a) Complete an amortization schedule for the above bond (for all periods) in a similar format as below. (Round all answers to the nearest dollar.) Use the effective interest method. Date...
HL Corporation issued $600,000 of 8% bonds on October 1, 2018, due on October 1, 2023....
HL Corporation issued $600,000 of 8% bonds on October 1, 2018, due on October 1, 2023. The interest is to be paid twice a year on April 1 and October 1. The bonds were sold to yield 10% effective annual interest. HL Corporation closes its books annually on December 31. Selling price of the bond = PV of principals + PV of interest payment = Required: Complete the following amortization schedule for the dates indicated. (Round all answers to the nearest...
CV= 5,536,696 22. Grove Corporation issued $6,000,000 of 8% bonds on October 1, 2020, due on...
CV=
5,536,696
22. Grove Corporation issued $6,000,000 of 8% bonds on October 1, 2020, due on October 1, 2025. The interest is to be paid twice a year on April 1 and October 1. The bonds were sold to yield 10% effective annual interest. Grove Corporation closes its books annually on December 31 (fiscal year end). Instructions: (10 + 5 + 5 = 18 points) (a) Prepare the amortization schedule showing entries up to second interest payment using the effective-interest...
On November 1, 2018, Natalia Corporation issued $200,000 8% four year bonds, where interest is payable...
On November 1, 2018, Natalia Corporation issued $200,000 8% four year bonds, where interest is payable semi-annually on April 30 and October 31. The bonds were dated November 1, 2018 and mature on November 1, 2022. The accounting period ends on December 31. The market rate on date of issue was 10%. 1. Calculate the proceeds of the bond (price) on November 1, 2018. 2. Prepare a full amortization schedule using the effective-interest method of amortization, starting your schedule at...
On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the...
On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the market rate of Interest was 10%. The bonds pay interest semi-annually each June 30 and December 31. Squidward uses the effective interest method of amortization to amortize and premium or discount. Was this bond issued at a premium or discount? Type in a 1 for discount and a 2 for premium. exact number, no tolerance On December 31, 2018, Squidward Corporation issued $500,000, 8%,...
c. Show how this note would be reported on Stephen Walker Company's December 31, Balance Sheet....
c. Show how this note would be reported on Stephen Walker Company's December 31, Balance Sheet. 6. Luke Alvez Corporation issued $200,000 of 9 % bonds on November 1, 2016, due on November 1, 2021. The interest is to be paid twice a year on May 1 and November 1 The bonds were sold to yield 10% effective annual interest. Alvez Corporation closes its books annually on December 31 Required: (a) Prepare the entries for 2016 (with dates). Use the...
On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the...
On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the market rate of interest was 10%. The bonds pay interest semi-annually each June 30 and December 31. Squidward uses the effective interest method of amortization to amortize and premium or discount. What is the face value of the bond? exact number, no tolerance On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the market rate of interest was...
On December 31, 2018, P. Star Corporation issued $300,000, 12 % , 15-year bonds for $346,120...
On December 31, 2018, P. Star Corporation issued $300,000, 12 % , 15-year bonds for $346,120 cash when the market rate of interest was 10%. The bonds pay interest semi-annually each June 30 and December 31. P. Star uses the effective interest method of amortization to amortize any premium or discount. Was the bond issued at a premium or a discount. Type in 1 for discount or 2 for premium. exact number, no tolerance On December 31, 2018, P. Star...
CV=
5,536,696
22. Grove Corporation issued $6,000,000 of 8% bonds on October 1, 2020, due on October 1, 2025. The interest is to be paid twice a year on April 1 and October 1. The bonds were sold to yield 10% effective annual interest. Grove Corporation closes its books annually on December 31 (fiscal year end). Instructions: (10 + 5 + 5 = 18 points) (a) Prepare the amortization schedule showing entries up to second interest payment using the effective-interest...
On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the market rate of Interest was 10%. The bonds pay interest semi-annually each June 30 and December 31. Squidward uses the effective interest method of amortization to amortize and premium or discount. Was this bond issued at a premium or discount? Type in a 1 for discount and a 2 for premium. exact number, no tolerance On December 31, 2018, Squidward Corporation issued $500,000, 8%,...
c. Show how this note would be reported on Stephen Walker Company's December 31, Balance Sheet. 6. Luke Alvez Corporation issued $200,000 of 9 % bonds on November 1, 2016, due on November 1, 2021. The interest is to be paid twice a year on May 1 and November 1 The bonds were sold to yield 10% effective annual interest. Alvez Corporation closes its books annually on December 31 Required: (a) Prepare the entries for 2016 (with dates). Use the...
On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the market rate of interest was 10%. The bonds pay interest semi-annually each June 30 and December 31. Squidward uses the effective interest method of amortization to amortize and premium or discount. What is the face value of the bond? exact number, no tolerance On December 31, 2018, Squidward Corporation issued $500,000, 8%, 20-year bonds for $414,210 cash when the market rate of interest was...
On December 31, 2018, P. Star Corporation issued $300,000, 12 % , 15-year bonds for $346,120 cash when the market rate of interest was 10%. The bonds pay interest semi-annually each June 30 and December 31. P. Star uses the effective interest method of amortization to amortize any premium or discount. Was the bond issued at a premium or a discount. Type in 1 for discount or 2 for premium. exact number, no tolerance On December 31, 2018, P. Star...
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