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NEED ANSWERS FOR PART D ASAP WITH STEPS!!! Application Problem 10-5A a, C-d (Part Level Submission) Sawada Insurance Ltd. issues bonds with a face value
NEED ANSWERS FOR PART D ASAP WITH STEPS!!!
Application Problem 10-5A a, C-d (Part Level Submission) Sawada Insurance Ltd. issues bonds with a face value of $100 million that mature in 12 years. The bonds carry a 8.1% interest rate and are sold at 122.62 to yield 5.5%. They pay interest semi-annually. (a) Your answer is correct. Calculate the proceeds on issuance of the bonds, and show the journal entry to record the issuance. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Proceeds on Issuance of the Bonds 122620000 Account Titles and Explanation Debit Credit Cash T 1226200 T | Notes Payable 122620000 SHOW LIST OF ACCOUNTS LINK TO TEXT Attempts: 2 of 2 used (C) Your answer is correct. Will the carrying value of the liability for these bonds increase over time, or decrease? decrease over time The carrying value of the liability for these bonds will Jover time. SHOW LIST OF ACCOUNTS LINK TO TEXT Attempts: 2 of 2 used List Of Accounts Application Problem 10-5A a, C-d (Part Level Submission) Cash Income Tax Expense Income Tax Payable Interest Expense Interest Payable Lease Liability Mortgage Payable No Entry Notes Payable Right-of-use Asset v (d) Show the journal entries to record the first two interest payments on these bonds. Ignore year-end accruals of interest. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Round answers to o decimal places, e.g. 125.) Account Titles and Explanation Debit Credit (To record first interest payment) (To record second interest payment) Attempts: 0 of 2 usedStep by Step Solution
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