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On January 1, a company issued and sold a $408,000, 9%, 10 year bond payable, and received proceeds of $403,000. Interest is payable each June
On January 1, a company issued and sold a $408,000, 9%, 10 year bond payable, and received proceeds of $403,000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount. The journal entry to record the first interest payment is: 0 C) Debit Bond Interest Expense $18,360, credit Cash $18.360 0 Debit Bond Interest Expense $36.720 Credit Cash $36.720. 0 Debit Bond Interest Expense $18.910, debit Discount on Bonds Payable $250. Credit Cash $1,360 0 Debit Bond Interest Expense $18.360, debit Discount on Bonds Payable $250;credit Cash $18.610 0 Debit Bond Interest Expense $18.610: Credit Cash $18,360, credit Discount on Bonds Payable $250. On January 1, a company issued and sold a $330.000, 4%, 10-year bond payable, and received proceeds of $323,000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount. The carrying value of the bonds immediately after the first interest payment is: Multiple Choice 5330.000. $329650. 5330350. 5322650 5323,350 On January 1, a company issued and sold a $300,000,5%, 10-year bond payable, and received proceeds of $293.000. Interest is payable each June 30 and December 31. The company uses the straight-line method to amortize the discount. The carrying value of the bonds immediately after the second Interest payment is: Multiple Choice $300,000. 5290650. 520500 529200. 291380. 00 A company issued 5-year, 7% bonds with a par value of $95.000. The company received $92,947 for the bonds. Using the straight-line method, the amount of interest expense for the first semiannual interest period is O $6,650.00 O $706060 O $3,530.30 O $3.325.00 A company issues 8%, 4-year bonds with a par value of $220,000 on January 1 at a price of $227,561, when the market rate of interest was 7%. The bonds pay interest semiannually. The amount of each semiannual interest payment is: Multiple Choice $17,600. 515,400. 577oo. 58.800. 1 A company issues 9% bonds with a par value of $50,000 at par on January 1. The market rate on the date of issuance was 8%. The bonds pay interest semiannually on January 1 and July 1. The cash paid on July 1to the bond holders) is: Multiple Choice $4,500, 54,000 32 250. $2.000
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