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It keeps telling me my answer is incomplete. What am I missing? Problem 10-2A Straight-Line: Amortization of bond premium LO P3 Hillside issues $2,600,000 of
It keeps telling me my answer is incomplete. What am I missing?
Problem 10-2A Straight-Line: Amortization of bond premium LO P3 Hillside issues $2,600,000 of 5%, 15-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31 The bonds are issued at a price of $3,182,390. Required: 1. Prepare the January 1 Journal entry to record the bonds' issuance, 2(a) For each semiannual period, complete the table below to calculate the cash payment 2(6) For each semiannual period, complete the table below to calculate the straight-line premium amortization 2(c) For each semiannual period, complete the table below to calculate the bond interest expense. 3. Complete the below table to calculate the total bond interest expense to be recognized over the bonds life. 4. Prepare the first two years of a straight-line amortization table. 5. Prepare the journal entries to record the first two interest payments. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A to 20 Req3 Reg 4 Regs Prepare the January 1 journal entry to record the bonds issuance No General Journal Debit Credit Date January 01 1 3,182,390 Cash Premium on bonds payable Bonds payable 582,390 2,600,000 an Req 2A to 20 > Hillside issues $2,600,000 of 5%, 15-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31. The bonds are issued at a price of $3,182,390. Required: 1. Prepare the January 1journal entry to record the bonds' issuance. 2(a) For each semiannual period, complete the table below to calculate the cash payment, 2(b) For each semiannual period, complete the table below to calculate the straight-line premium amortization. 2(c) For each semiannual period, complete the table below to calculate the bond interest expense. 3. Complete the below table to calculate the total bond interest expense to be recognized over the bonds life. 4. Prepare the first two years of a straight-line amortization table, 5. Prepare the journal entries to record the first two interest payments. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A to 20 Reg 3 Reg 4 Reg 5 For each semiannual period, compute (a) the cash payment, (b) the straight-line discount amortization, and (c) the bond interest expense. (Round "Unamortized Premium" to whole dollar and use the rounded value for part 4 & 5.) 20) Year Par (maturity) value $ 2,600,000 Annual Rate 5% Semiannual cash Interest payment 65,000 6/12 2/6) Bond price Par (maturity value) $ 2,600,000 Premium on Bonds Payable 582,390 Semiannual periods Straight-line premium amortization 19,413 $ 3.182,390 30 210) Semiannual cash payment 65,000 Premium amortization 19.413 Band interest expense 45,587 Hillside issues $2,600,000 of 5%, 15-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31 The bonds are issued at a price of $3,182.390. Required: 1. Prepare the January 1 journal entry to record the bonds issuance. 2(a) For each semiannual period, complete the table below to calculate the cash payment. 2(b) For each semiannual period, complete the table below to calculate the straight-line premium amortization 210) For each semiannual period, complete the table below to calculate the bond interest expense. 3. Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. 4. Prepare the first two years of a straight-line amortization table. 5. Prepare the journal entries to record the first two interest payments. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2A to 20 Reg 3 Reg 4 Reg 5 Complete the below table to calculate the total bond interest expense to be recognized over the bonds life. Total bond Interest expense over life of bonds: Amount repaid 30 payments of 65,000 $ 1,950,000 Par value at maturity 2.600.000 Total repaid 4,550,000 Less amount borrowed 3,182390 Total bond Interest expense $ 1.367,610 Req2A to 20 Reg 4 > Problem 10-2A Straight-Line: Amortization of bond premium LO P3 Hillside issues $2,600,000 of 5%, 15-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31 The bonds are issued at a price of $3,182,390. Required: 1. Prepare the January 1journal entry to record the bonds' issuance. 2(a) For each semiannual period, complete the table below to calculate the cash payment 2(b) For each semiannual period, complete the table below to calculate the straight-line premium amortization 2/C) For each semiannual period, complete the table below to calculate the bond interest expense. 3. Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. 4. Prepare the first two years of a straight-line amortization table. 5. Prepare the journal entries to record the first two interest payments. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 20 Reg 3 Reg 4 Reqs Prepare the first two years of a straight-line amortization table. (Round your final answers to the nearest whole dollar amount.) Semiannual Period-End 01/01/2019 06/30/2019 Unamortized Premium S 582,390 562,977 543,564 524.151 504.738 Carrying Value $ 3,182,390 3,162,977 3,143,564 3,124,151 3.104.738 12/31/2019 06/30/2020 12/31/2020 Problem 10-2A Straight-Line: Amortization of bond premium LO P3 Hillside issues $2,600,000 of 5%, 15-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31 The bonds are issued at a price of $3,182,390 Required: 1. Prepare the January 1 Journal entry to record the bonds' Issuance. 2(a) For each semiannual period, complete the table below to calculate the cash payment, 2(b) For each semiannual period, complete the table below to calculate the straight-line premium amortization. 2) For each semiannual period, complete the table below to calculate the bond interest expense. 3. Complete the below toble to calculate the total bond interest expense to be recognized over the bonds life 4. Prepare the first two years of a straight-line amortization table 5. Prepare the journal entries to record the first two interest payments Answer is not complete. Complete this question by entering your answers in the tabs below. Reg1 Reg 2A to 20 Reg 3 Reg 4 Reg 5 Prepare the journal entries to record the first two interest payments. (Round your final answers to the nearest whole dollar amount.) No Credit Date June 30 1 General Journal Bond interest expense Premium on bonds payable Cash Debit 45,587 19,413 65,000 2 December 31 Bond interest expenso Premium on bonds payable Cash 45,587 19,413 O 65,000 Step by Step Solution
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