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help pls! will rate! thank you in advance! The following amortization and interest schedule reflects the issuance of 10 -year bonds by Crane Corporation on
help pls! will rate! thank you in advance!
The following amortization and interest schedule reflects the issuance of 10 -year bonds by Crane Corporation on January 1,2019, and the subsequent interest payments and charges. The company's year-end is December 31, and financial statements are prepared once yearly. a. Indicate whether the bonds were issued at a premium or a discount. b. Indicate whether the amortization schedule is based on the straight-line method or the effective-interest method. c. Determine the stated interest rate and the effective-interest rate. The stated rate % The effective rate % d. On the basis of the schedule above, prepare the journal entry to record the issuance of the bonds on January 1, 2019. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) e. On the basis of the schedule above, prepare the journal entry or entries to record the bond transactions and accruals for 2019. (Interest is paid January 1.) (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) f. On the basis of the schedule above, prepare the journal entry or entries to record the bond transactions and accruals for 2026. Crane Corporation does not use reversing entries. (Record entries in the order displayed in the problem statement. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Step by Step Solution
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