Question
1) On January 2, 2015 company issued a $100,000 bond that matures in 10 years and pays 6% interest (coupon rate) a year. Payment date
1) On January 2, 2015 company issued a $100,000 bond that matures in 10 years and pays 6% interest (coupon rate) a year. Payment date is December 31. Market (yield) rate is 8%. $_______________.
2) From above example record the entrycompany has to make on January 2 when he issues the Bonds Payable.
3) From the above example: Interest Expense Year Ending 12/31/2015______________ . 4) Interest Expense Year Ending 12/21/2016__________________________. 5) A company purchased equipment on January 1, 2015,for her company by issuing a two-year non-interest note for $100,000. Please record theentry. Date Account Titles Debit Credit 6)Interest Expense Year Ending 12/31/2015 7) Interest Expense Year Ending 12/31/2016 8) Under an assurance-type warranty, companies charge warranty costs only to the periods in which they comply with the warranty? True or False
I am not looking for just ananswer. Please show me your work for 3, 4, 5, 6 and 7. Thank you.
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