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In performing accounting services for small businesses, you encounter the following situations pertaining to cash sales. 1. Sandhill Co. enters sales and sales taxes separately
In performing accounting services for small businesses, you encounter the following situations pertaining to cash sales. 1. Sandhill Co. enters sales and sales taxes separately on its cash register. On April 10, the register totals are sales $32,500 and sales taxes $1,625. 2. Carla Vista Co. does not segregate sales and sales taxes. Its register total for April 15 is $24,910, which includes a 6% sales tax (a) Prepare the entry to record the sales transactions and related taxes for Sandhill Co. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Apr. 10 eTextbook and Media List of Accounts Save for Later Attempts: 0 of 3 used Submit Answer\fOn January 1, 2022, Blue Corporation issued $1,830,000 face value, 5%, 10- year bonds at $1,695,310. This price resulted in an effective-interest rate of 6% on the bonds. Blue uses the effective-interest method to amortize bond premium or discount. The bonds pay annual interest January 1. (a). (b) Your answer is partially correct. Prepare an amortization table through December 31, 2024 (three interest periods) for this bond issue. (Round answers to O decimal places, e.g. 125.) BLUE CORP. Bond Discount Amortization Effective-Interest Method-Annual Interest Payments Interest Expense Bond to Be Discount Unamortized Carrying Recorded Amortization Discount Value 1,695,310 101719 10219 124471 1,705,529 102332 10832 113640 1,716,360 102982 11482 102158 1,727,842BLUE CORP: Bond Discount Amortization Effective-Interest MethodAnnual Interest Payments Interest Annual Interest Expense Interest to Re to Be Discount Urns Periods Pa id Recorded Amortization D 2 91500 10232-2 10532 I 3 91500 102952 11402
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