Hi can you help with this problem. Can you check my calculations are correct?
Homework Answers
| Table values are based on: | ||||
| n= | 20 | |||
| i= | 5.0% | |||
| Cash Flow | Table Value | Amount | Present Value | |
| PV of Interest | 12.46221 | $1,20,00,000 | $14,95,46,520 | |
| PV of Principal | 0.37689 | $20,00,00,000 | $7,53,78,000 | |
| PV of Bonds Payable | $22,49,24,520 | |||
| So Yes your calculations are absolutely correct. | ||||
| Also the calculation and Journal entry under effective interest method is also correct | ||||
| Just for the calculation of Interest expenses as per Straight Line method: | ||||
| Premium on Bond =$224,924,520 - $200,000,000 =$24,924,520 | ||||
| Premium on Bonds payable amortized each period =$24,924,520 / 20 =$1,246,226 | ||||
| Interest paid in cash =$200,000,000*6% =$12,000,000 | ||||
| Interest expense as per straight line method =$12,000,000 - $1,246,226 =$10,753,774 | ||||
| So the entry will be: | Debit | Credit | ||
| Interest expenses | $10,753,774 | |||
| Premium on Bond payable | $1,246,226 | |||
| Cash | $12,000,000 | |||
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Hi can you help with this problem. Can you check my calculations
are correct?
Assignment #...
Hi, can you please check my work and tell me where I went wrong please? ive...
Hi, can you please check my work and tell me where I went
wrong please? ive tried countless times. thank you so much!
Premium Amortization On the first day of the fiscal year, a company issues a $1,500,000, 11%, 10-year bond that pays semiannual interest of $82,500 ($1,500,000 11% x V), receiving cash of $1,593,465. Journalize the first interest payment and the amortization of the related bond premium. Round to the nearest dollar. If an amount box does not require...
Your answer is partially correct. Try again. waterway Co. sells $430,000 of 12% bonds on June...
Your answer is partially correct. Try again. waterway Co. sells $430,000 of 12% bonds on June 1, 2017. The bonds pay interest on December 1 and June 1. The due date of the bonds is June 1, 2021 . The bonds yield 10%. On October 1, 2018, Waterway buys back $141,900 worth of bonds for $149,900 (includes accrued interest) Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates...
Hi, I tried many times to get the answers for this question. Can someone please help...
Hi, I tried many times to get the answers for this question. Can
someone please help me. In number 1, insurance of bonds for 200 000
is wrong. Really need help. Thank you
12/31/2019 200 000 2. What amounts will be reported on the financial statements (statement of financial position, statement of earnings, and statement of cash flows) for 2017, 2018, and 2019? (Round intermediate and final answers to the nearest whole dollar.) 2017 2018 2019 Interest expense Bonds payable...
Problem 14-5 In each of the following independent cases, the company closes its books on December...
Problem 14-5 In each of the following independent cases, the company closes its books on December 31. Your answer is partially correct. Try again Pronghorn Co. sells $537,000 of 8% bonds on March 1, 2017, The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2020, The bonds yield 12% Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates...
Exercise Help Save Submit Check my work Wookie Company issues 7%, five year bonds, on January...
Exercise Help Save Submit Check my work Wookie Company issues 7%, five year bonds, on January 1 of this year with a par value of $101.000 and semiannual interest payments Unte Catal O) (1) (2) Selamat Period End January 1, issuance June 30, first payment December 31, second payment 7,318 5.505 103.31 101.505 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...
Please check my completed assignment for errors. Please show calculations if possible, Thank you! Record the...
Please check my completed assignment for errors. Please show
calculations if possible, Thank you!
Record the following adjusting entries in general journal form as of December 31, 2020: 1. Supplies on hand at the end of the year: $700 2. Equipment shown on the 12/1 TB was purchased on 1/1/17, has a 8 year life, no salvage value and company uses double-declining balance method for its depreciation. 3. Included in the truck balance is a fully depreciated truck for $6,500...
can you walk me through the calulations? Assignment 2 1. Metro Company purchased $100,000, 10%, 5-year...
can you walk me through the calulations?
Assignment 2 1. Metro Company purchased $100,000, 10%, 5-year bonds on January 1, 20x1, with interest payable on July 1 and January 1. The bonds sold for $108,111, which results in an effective interest rate of 8%. The market value on December 31, 20x1 was $105,000 and all bonds were sold for $107,500 on January 1, 20x2 before the scheduled payment is made. Required: prepare journal entries on January 1, 20x1, July 1,...
Can you help me with these questions Problem 16-02 Your answer is partially correct. Try again....
Can you help me with these questions
Problem 16-02 Your answer is partially correct. Try again. Carla Inc. issued $2,760,000 of convertible 10-year bonds on July 1, 2020. The bonds provide for 13% interest payable semiannually on January 1 and July 1. The discount in connection with the issue was $58,800, which is being amortized monthly on a straight-line basis. The bonds are convertible after one year into 9 shares of Carla Inc.'s $100 par value common stock for each...
Please show all work and calculations. CALCULATOR PRINTER VERSION (BACK NEXT Problem 14-05 In each of...
Please show all work and calculations.
CALCULATOR PRINTER VERSION (BACK NEXT Problem 14-05 In each of the following independent cases, the company doses its books on December 31. Monty Co. sells s462,000 of 10% bonds on March 1, 2020. The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2023. The bonds yield 12%. Give entries through December 31, 2021. Prepare a bond amortization schedule using the effective-interest method for discount...
please help me answering all of these questions. thank you so much On January 1, 2020,...
please help me answering all of these questions. thank you so
much
On January 1, 2020, Indigo Company sold 12% bonds having a maturity value of $650,000 for $753,808, which provides the bondholders with a 8% yield. The bonds are dated January 1, 2020, and mature January 1, 2025, with interest payable Decembe of each year. Indigo Company allocates interest and unamortized discount or premium on the effective-interest basis. Prepare the journal entry at the date of the bond issuance....
Hi, can you please check my work and tell me where I went
wrong please? ive tried countless times. thank you so much!
Premium Amortization On the first day of the fiscal year, a company issues a $1,500,000, 11%, 10-year bond that pays semiannual interest of $82,500 ($1,500,000 11% x V), receiving cash of $1,593,465. Journalize the first interest payment and the amortization of the related bond premium. Round to the nearest dollar. If an amount box does not require...
Your answer is partially correct. Try again. waterway Co. sells $430,000 of 12% bonds on June 1, 2017. The bonds pay interest on December 1 and June 1. The due date of the bonds is June 1, 2021 . The bonds yield 10%. On October 1, 2018, Waterway buys back $141,900 worth of bonds for $149,900 (includes accrued interest) Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates...
Hi, I tried many times to get the answers for this question. Can
someone please help me. In number 1, insurance of bonds for 200 000
is wrong. Really need help. Thank you
12/31/2019 200 000 2. What amounts will be reported on the financial statements (statement of financial position, statement of earnings, and statement of cash flows) for 2017, 2018, and 2019? (Round intermediate and final answers to the nearest whole dollar.) 2017 2018 2019 Interest expense Bonds payable...
Problem 14-5 In each of the following independent cases, the company closes its books on December 31. Your answer is partially correct. Try again Pronghorn Co. sells $537,000 of 8% bonds on March 1, 2017, The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2020, The bonds yield 12% Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates...
Exercise Help Save Submit Check my work Wookie Company issues 7%, five year bonds, on January 1 of this year with a par value of $101.000 and semiannual interest payments Unte Catal O) (1) (2) Selamat Period End January 1, issuance June 30, first payment December 31, second payment 7,318 5.505 103.31 101.505 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...
Please check my completed assignment for errors. Please show
calculations if possible, Thank you!
Record the following adjusting entries in general journal form as of December 31, 2020: 1. Supplies on hand at the end of the year: $700 2. Equipment shown on the 12/1 TB was purchased on 1/1/17, has a 8 year life, no salvage value and company uses double-declining balance method for its depreciation. 3. Included in the truck balance is a fully depreciated truck for $6,500...
can you walk me through the calulations?
Assignment 2 1. Metro Company purchased $100,000, 10%, 5-year bonds on January 1, 20x1, with interest payable on July 1 and January 1. The bonds sold for $108,111, which results in an effective interest rate of 8%. The market value on December 31, 20x1 was $105,000 and all bonds were sold for $107,500 on January 1, 20x2 before the scheduled payment is made. Required: prepare journal entries on January 1, 20x1, July 1,...
Can you help me with these questions
Problem 16-02 Your answer is partially correct. Try again. Carla Inc. issued $2,760,000 of convertible 10-year bonds on July 1, 2020. The bonds provide for 13% interest payable semiannually on January 1 and July 1. The discount in connection with the issue was $58,800, which is being amortized monthly on a straight-line basis. The bonds are convertible after one year into 9 shares of Carla Inc.'s $100 par value common stock for each...
Please show all work and calculations.
CALCULATOR PRINTER VERSION (BACK NEXT Problem 14-05 In each of the following independent cases, the company doses its books on December 31. Monty Co. sells s462,000 of 10% bonds on March 1, 2020. The bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2023. The bonds yield 12%. Give entries through December 31, 2021. Prepare a bond amortization schedule using the effective-interest method for discount...
please help me answering all of these questions. thank you so
much
On January 1, 2020, Indigo Company sold 12% bonds having a maturity value of $650,000 for $753,808, which provides the bondholders with a 8% yield. The bonds are dated January 1, 2020, and mature January 1, 2025, with interest payable Decembe of each year. Indigo Company allocates interest and unamortized discount or premium on the effective-interest basis. Prepare the journal entry at the date of the bond issuance....
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