financial accounting warren reeve duchac 13eon page 660 13-4A.

Problem 14-4A Name: Pei-Tzu Wu Section: Score: Key Code: 88% [Key code here] Instructions Answers are entered in the cells with gray backgrounds. Cells with non-gray backgrounds are protected and cannot be edited. An asterisk (*) will appear to the right of an incorrect entry. 1. 2014 July 1 Oct. 1 Cash Discount on Bonds Payable Bonds Payable 77,906,048 10,093,952 88,000,000 Cash 240,000 Notes Payable Dec. 31 Dec. 31 Dec. 31 Dec. 31 2015 June 30 Sept. 30 Dec. 31 Dec. 31 Dec. 31 Dec. 31 2016 June 30 Sept. 30 240,000 Interest Expense Interest Payable 3,000 3,000 Interest Expense Cash 4,400,000 4,400,000 Interest Expense Discount on Bonds Payable 504,698 504,698 Income Summary Interest Expense 4,907,698 Interest Expense Cash 4,400,000 Notes Payable Interest Expense Interest Payable Cash 43,434 4,907,698 4,400,000 55,434 Interest Expense Interest Payable 2,457 2,457 Interest Expense Cash 4,400,000 Interest Expense Discount on Bonds Payable 1,009,396 4,400,000 1,009,396 Income Summary Interest Expense Bonds Payable Loss on Redemption of Bonds Cash Discount on Bonds Payable 88,000,000 8,075,160 Notes Payable Interest Expense Interest Payable Cash 45,606 55,434 2. a. 2014 interest expense: b. $ 4,907,698 2015 interest expense: 3. Initial carrying amount of bonds Discount amortized on December 31, 2014 Discount amortized on December 31, 2015 Carrying amount of bonds, December 31, 2015 $ 77,906,048 504,698 1,009,396 $ 79,420,142 Problem 14-4A Name: Pei-Tzu Wu Section: Score: Key Code: Instructions 82% [Key code here] Answers are entered in the cells with gray backgrounds. Cells with non-gray backgrounds are protected and cannot be edited. An asterisk (*) will appear to the right of an incorrect entry. 1. 2014 July 1 Cash Discount on Bonds Payable Bonds Payable Oct. 1 Cash Enter the larger of the debits first. 77,906,048 10,093,952 88,000,000 240,000 Notes Payable Dec. 31 240,000 Interest Expense 3,000 Interest Payable Dec. 31 Interest Expense 3,000 4,400,000 Cash Dec. 31 Interest Expense 4,400,000 504,698 Discount on Bonds Payable Dec. 31 2015 June 30 Sept. 30 Dec. 31 Dec. 31 Dec. 31 Dec. 31 2016 June 30 Sept. 30 504,698 Income Summary Interest Expense 4,907,698 Interest Expense Cash 4,400,000 Notes Payable Interest Expense Interest Payable Cash 4,907,698 4,400,000 Enter debits in descending order by amount. 43,434 55,434 Interest Expense Interest Payable 2,457 2,457 Interest Expense Cash 4,400,000 Interest Expense Discount on Bonds Payable 1,009,396 4,400,000 1,009,396 Income Summary Interest Expense Enter the larger of the debits first. Bonds Payable Loss on Redemption of Bonds Cash Discount on Bonds Payable Notes Payable Interest Expense Interest Payable Cash 2. a. 2014 interest expense: b. 2015 interest expense: 3. Initial carrying amount of bonds Discount amortized on December 31, 2014 Discount amortized on December 31, 2015 Carrying amount of bonds, December 31, 2015 Enter the larger of88,000,000 the credits first. Enter debits in descending order by amount. 8,075,160 45,606 55,434