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A $545,000 bond issue on which there is an unamortized discount of $37,000 is redeemed for $471,000. Journalize the redemption of the bonds. If an
A $545,000 bond issue on which there is an unamortized discount of $37,000 is redeemed for $471,000. Journalize the redemption of the bonds. If an amount box does not require an entry, leave it blank. On the first day of the fiscal year, a company issues an $928,000, 10%, five-year bond that pays semiannual interest of $46,400 ($928,000 x 10% x 1/2), receiving cash of $872,300. Journalize the entry to record the first interest payment and the amortization of the related bond discount using the straight-line method. If an amount box does not require an entry, leave it blank. Interest Expense Discount on Bonds Payable Cash $1,406,483 $200,000 Balance sheet and income statement data indicate the following: Bonds payable, 11% (due in 15 years) Preferred 8% stock, $100 par (no change during the year) Common stock, $50 par (no change during the year) Income before income tax for year Income tax for year Common dividends paid Preferred dividends paid $1,000,000 $426,112 $127.834 $60,000 $16,000 Based on the data presented above, what is the times interest eamed ratio (round to two decimal places)? Om 2.75 OD. 1.93 O 0.93 Od 3.75
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