Question
On July 1, 2021, Crane Satellites Corporation issued $1,100,000 of 10-year, 9% bonds to yield a market interest rate of 8%. The bonds pay semi-annual
On July 1, 2021, Crane Satellites Corporation issued $1,100,000 of 10-year, 9% bonds to yield a market interest rate of 8%. The bonds pay semi-annual interest on July 1 and January 1. Crane has a December 31 year end and records adjusting entries annually. Crane received $1,174,750 when issuing the bonds.
Show the statement of financial position presentation of the liabilities at December 31, 2021. (Round all amounts to the nearest dollar, e.g. 5,275.)
CRANE SATELLITES CORPORATION Statement of Financial Position (Partial) December 31, 2021For the Month Ended December 31, 2021For the Year Ended December 31, 2021 | |||
---|---|---|---|
Current liabilities | |||
enter an account title | $enter a dollar amount | ||
Non-current liabilities | |||
enter an account title | enter a dollar amount |
List of Accounts
Record the payment of interest on January 1, 2022, and July 1, 2022. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Round all amounts to the nearest dollar, e.g. 5,275.)
Date | Account Titles and Explanation | Debit | Credit |
---|---|---|---|
2022 | |||
Jan. 1 | enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount | |
July 1 | enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount | |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount |
List of Accounts
Prepare the adjusting entry on November 30, 2021, to accrue the interest on the bonds, assuming the companys year end was November 30, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Round all amounts to the nearest dollar, e.g. 5,275.)
Date | Account Titles and Explanation | Debit | Credit |
---|---|---|---|
2021 | |||
Nov. 30 | enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount | |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount |
List of Accounts
Record the payment of interest on January 1, 2022, assuming the companys year end was November 30. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Round all amounts to the nearest dollar, e.g. 5,275.)
Date | Account Titles and Explanation | Debit | Credit |
---|---|---|---|
2022 | |||
Jan. 1 | enter an account title for the journal entry on January 1 | enter a credit amount | enter a credit amount |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount | |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount | |
enter an account title for the journal entry on January 1 | enter a debit amount | enter a credit amount |
List of Accounts
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