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help me please thank you Use the following information for the next five (5) questions: On May 1, 2017, Barcelona Company issued a five-year P2,000,000
help me please thank you Use the following information for the next five (5) questions: On May 1, 2017, Barcelona Company issued a five-year P2,000,000 face value bonds with stated rate of 16%. The bonds were issued to yield 14%. Interests are payable semi-annually on May 1 and November 1. Barcelona Company uses the calendar year and the effective interest method of amortization. Present value of 1 at 7% for 10 periods is 0.5084. Present value of an ordinary annuity of 1 at 7% for 10 periods is 7.0236. QUESITONS: 13) How much is the issue price of the bonds? A. 3,264,352 B. 2,938,408 C. 2,140,576 D. 2,000,000 14) What is the bond interest expense for the year 2017? A. 199,550 B. 298,969 c. 186,667 D. 213,333 15) What is the bond carrying amount at December 31, 2018? A. 2,103,764 B. 2,112,062 c. 2,120,359 D. 2,095,467 16) How much is the unamortized premium on bonds payable on December 31, 2018? A 112,062 B. 103,764 C. 120,359 D. 95,467 17) How much is the interest payable on December 31, 2017? A. 53,333 B. 49,710 C. 213,000 D. 0
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