Append x 14-21 Present value of hands payable discount Pinder weed $25.000.000 af hende, where peale Pinder a produced quali video. To be puyable, sing the presente alles in his and 10 od to the web Appendix Ex 1422 Present value of bonds payable premium Mew Coinued $12,000,000 offre year, 11 bonds with interest payable comme ally, at a market effective interest rate of Determine the present all of the bande puyabile in the presente alles in Exhibits and 10 others Append BX 14-23 Amortize discount by interest method On the first day of its final year, ther Companied of 1 hands to finance its operations Interest is payable emamy the hands and et effective in the Companying cho 5.OS.ROS. The company was the method analize the entries to read the line Sale of the beach 2. First seminal interest payment, including mortization of discount Road to the Secand mayen, including motion of docent Compute the amount of the band interest for the finity Poplain why the company was the time the hands for only $8,495 her them for the face amount of 350.000.000 PE 16-1A Classifying cash flows Identify whether cach of the following where toda prating Financing activity on the statement of cash flow depuse of cook h Puchowe of youth Payment of spate Disposal PE 162A Adjustments to net income-indirect method Tipley Cooperatie te percake-ul increased by SILS while $2.500 of patient amortization was recognised herween halance sheet dater. There were purchases or sales of depreciable or intangible during the years tion, the income statement from the sale of land net income $234.500 to chow from perating PE 16-3A Changes in current operating assets and liabilities-indirect method Zwilling Corpompie blance sheet for et andet Der Dart Aunts payable Dienste pust net income of 5320,000 for changes in operating us and tables to Appendix 1 and Appendix 2 PR 14-5A Bond discount, entries for bonds payable transactions, interest method of amortizing bond discount On July 1 Year I, Danzer Industries Inc. issued $40,000,000 of 10-year, 7% bonds at a mucket (effective interest rate of 8%, receiving cash of $37,262,062. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year Instructions 1. Journalise the entry to record the amount of cash proceeds from the sunce of the bonds 2. Journalire the entries to record the following a. The first semiannual interest payment on December 31, Year 1, and the amortiz tion of the bond discount, using the interest method. Round to the nearest dollar. b. The interest payment on June 30, Year 2, and the amortization of the bond discount, using the interest method. Round to the nearest dollar 3. Determine the total interest expense for Year 1. Appendix 1 and Appendix 2 PR 14-6A Bond premium, entries for bonds payable transactions, interest method of amortizing bond premium Campbell, Inc. produces and sells outdoor equipment. On July 1, Year 1. Campbell, Inc. issued $25,000,000 of 10-year, 10% bonds at a market (effective interest rate of 9%, receiving cash of $26,625.925. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year. Instructions 1. Journalire the entry to record the amount of cash proceeds from the issuance of the hands 2. Journalize the entries to record the following 2. The first semiannual interest payment on December 31, Year 1, and the amortiza- tion of the bond premium, using the interest method. Hound to the nearest dollar b. The interest payment on June 30, Year 2, and the amortization of the bond premium, using the interest method. Round to the nearest dollar 3. Determine the total interest expense for Year 1. Appendix 1 EX 14-17 Present value of amounts due Tommy John is going to receive $1,000,000 in three years. The current market rate of interest is 2. Using the present value of $1 table in Exhibit 8, determine the present value of this amount compounded annually b. Why is the present value less than the $1,000,000 to be received in the future? Appendix 1 EX 14-18 Present value of an annuity Determine the present value of $200,000 to be received at the end of each of four years, using an interest rate of 7%, compounded annually, as follows: 3. By successive computations, using the present value table in hihi 1. By using the present value table in Exhibit 10 c. Why is the present value of the four $200,000 cash receipts less than the $900,000 to be received in the future? Appendix 1 EX 14-19 Present value of an annuity On January 1, you win $60,000,000 in the state lottery. The $60,000,000 prize will be paid in equal installments of $6,000,000 over 10 years. The payments will be made on December 31 of each year, beginning on December 31 of the current year. If the current interest rate is determine the present value of your winnings. Use the present value tables in Appendix A. PE 16-4A Cash flows from operating activities-indirect method OBJ. 2 Demers Inc. reported the following data: Net income $490,000 Depreciation expense 52,000 Gain on disposal of equipment 26,500 Decrease in accounts receivable 32,400 Decrease in accounts payable 12,350 Prepare the cash flows from operating activities section of the statement of cash flows, using the indirect method. PE 16-5A Land transactions on the statement of cash flows OBJ. 2 Simkin Corporation purchased land for $420,000. Later in the year, the company sok a different piece of land with a book value of $155,000 for $110,000. How are the effects of these transactions reported on the statement of cash flows? PE 16-8A Free cash flow OBJ. 4 McMahon Inc. reported the following on the company's statement of cash flows in Year 2 and Year 1: Year 2 Year 1 Net cash flow from operating activities $ 294,000 $280,000 Net cash flow used for investing activities (224,000) (252,000) Net cash flow used for financing activities (63,000) (42,000) Seventy percent of the net cash flow used for investing activities was used to replace existing capacity 2. Determine McMahon's free cash flow for both years. b. llas McMahon's free cash flow improved or declined from Year 1 to Year 2? Append x 14-21 Present value of hands payable discount Pinder weed $25.000.000 af hende, where peale Pinder a produced quali video. To be puyable, sing the presente alles in his and 10 od to the web Appendix Ex 1422 Present value of bonds payable premium Mew Coinued $12,000,000 offre year, 11 bonds with interest payable comme ally, at a market effective interest rate of Determine the present all of the bande puyabile in the presente alles in Exhibits and 10 others Append BX 14-23 Amortize discount by interest method On the first day of its final year, ther Companied of 1 hands to finance its operations Interest is payable emamy the hands and et effective in the Companying cho 5.OS.ROS. The company was the method analize the entries to read the line Sale of the beach 2. First seminal interest payment, including mortization of discount Road to the Secand mayen, including motion of docent Compute the amount of the band interest for the finity Poplain why the company was the time the hands for only $8,495 her them for the face amount of 350.000.000 PE 16-1A Classifying cash flows Identify whether cach of the following where toda prating Financing activity on the statement of cash flow depuse of cook h Puchowe of youth Payment of spate Disposal PE 162A Adjustments to net income-indirect method Tipley Cooperatie te percake-ul increased by SILS while $2.500 of patient amortization was recognised herween halance sheet dater. There were purchases or sales of depreciable or intangible during the years tion, the income statement from the sale of land net income $234.500 to chow from perating PE 16-3A Changes in current operating assets and liabilities-indirect method Zwilling Corpompie blance sheet for et andet Der Dart Aunts payable Dienste pust net income of 5320,000 for changes in operating us and tables to Appendix 1 and Appendix 2 PR 14-5A Bond discount, entries for bonds payable transactions, interest method of amortizing bond discount On July 1 Year I, Danzer Industries Inc. issued $40,000,000 of 10-year, 7% bonds at a mucket (effective interest rate of 8%, receiving cash of $37,262,062. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year Instructions 1. Journalise the entry to record the amount of cash proceeds from the sunce of the bonds 2. Journalire the entries to record the following a. The first semiannual interest payment on December 31, Year 1, and the amortiz tion of the bond discount, using the interest method. Round to the nearest dollar. b. The interest payment on June 30, Year 2, and the amortization of the bond discount, using the interest method. Round to the nearest dollar 3. Determine the total interest expense for Year 1. Appendix 1 and Appendix 2 PR 14-6A Bond premium, entries for bonds payable transactions, interest method of amortizing bond premium Campbell, Inc. produces and sells outdoor equipment. On July 1, Year 1. Campbell, Inc. issued $25,000,000 of 10-year, 10% bonds at a market (effective interest rate of 9%, receiving cash of $26,625.925. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year. Instructions 1. Journalire the entry to record the amount of cash proceeds from the issuance of the hands 2. Journalize the entries to record the following 2. The first semiannual interest payment on December 31, Year 1, and the amortiza- tion of the bond premium, using the interest method. Hound to the nearest dollar b. The interest payment on June 30, Year 2, and the amortization of the bond premium, using the interest method. Round to the nearest dollar 3. Determine the total interest expense for Year 1. Appendix 1 EX 14-17 Present value of amounts due Tommy John is going to receive $1,000,000 in three years. The current market rate of interest is 2. Using the present value of $1 table in Exhibit 8, determine the present value of this amount compounded annually b. Why is the present value less than the $1,000,000 to be received in the future? Appendix 1 EX 14-18 Present value of an annuity Determine the present value of $200,000 to be received at the end of each of four years, using an interest rate of 7%, compounded annually, as follows: 3. By successive computations, using the present value table in hihi 1. By using the present value table in Exhibit 10 c. Why is the present value of the four $200,000 cash receipts less than the $900,000 to be received in the future? Appendix 1 EX 14-19 Present value of an annuity On January 1, you win $60,000,000 in the state lottery. The $60,000,000 prize will be paid in equal installments of $6,000,000 over 10 years. The payments will be made on December 31 of each year, beginning on December 31 of the current year. If the current interest rate is determine the present value of your winnings. Use the present value tables in Appendix A. PE 16-4A Cash flows from operating activities-indirect method OBJ. 2 Demers Inc. reported the following data: Net income $490,000 Depreciation expense 52,000 Gain on disposal of equipment 26,500 Decrease in accounts receivable 32,400 Decrease in accounts payable 12,350 Prepare the cash flows from operating activities section of the statement of cash flows, using the indirect method. PE 16-5A Land transactions on the statement of cash flows OBJ. 2 Simkin Corporation purchased land for $420,000. Later in the year, the company sok a different piece of land with a book value of $155,000 for $110,000. How are the effects of these transactions reported on the statement of cash flows? PE 16-8A Free cash flow OBJ. 4 McMahon Inc. reported the following on the company's statement of cash flows in Year 2 and Year 1: Year 2 Year 1 Net cash flow from operating activities $ 294,000 $280,000 Net cash flow used for investing activities (224,000) (252,000) Net cash flow used for financing activities (63,000) (42,000) Seventy percent of the net cash flow used for investing activities was used to replace existing capacity 2. Determine McMahon's free cash flow for both years. b. llas McMahon's free cash flow improved or declined from Year 1 to Year 2