Question
On 31.08.2020, the company exported 1.500.000 dollars with a 2-year term and an annual interest rate of 12%. The bond was sold for $ 300,000
On 31.08.2020, the company exported 1.500.000 dollars with a 2-year term and an annual interest rate of 12%. The bond was sold for $ 300,000 below its nominal value. The sales price has been deposited into the deposit account at the bank. Interests will be paid annually. 50% of the principal will be paid to bondholders every year.
Use these accounts: Issued Bonds, Discount on Issuance of Securities and Discount on Issuance of Securities (-), Financial Expenses, Reflection Account For Financial Expenses, Banks Account, Long-Term Borrowing Expenses, Profit or Loss For The Period.
Thank you :)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started