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Financial Accounting II Bond Assignment Please prepare your answers to the following bond questions. We will review these problems on Monday The Barton Corporation purchased

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Financial Accounting II Bond Assignment Please prepare your answers to the following bond questions. We will review these problems on Monday The Barton Corporation purchased $750,000 of 3%, 5-year bonds at 98 on January 1, 2016. Interest is to be paid semiannually on January 1 and July 1This is a held-to- maturity investment. This company uses the straight-line method to amortize any premiums or discounts. What was the purchase price of these bonds? A. $735,000 B. $750,000 C. $772,500 D. $727,500 2. Refer to Question 1. What is the amount of Interest Revenue recorded on July 1,2016? A. $22,500 B. $11,250 C. $9,720 D. $12,750 3. Refer to Question 1. What is the carrying amount of the bond on July 1, 2016? A. $750,000 B. $748,500 C. $736,500 D. $735,000 On January 1, 2017, Exclusive Company purchases si 0,000 of 6% bonds in Smiley Company at a price of 95. Exclusive Company intends to hold the bonds until the maturity date on January 1, 2027. The interest dates are January 1 and July 1. Exclusive Company amortizes any discount or premium using the straight-line method. The fiscal year end of Exclusive Company is December 31. 4. Required: Prepare the journal entries on: 1. January 1, 2017 2. July 1, 201:7 3. December 31, 2017 4. January 1, 2018 Explanations are not required

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