Question
only the f) g) h) with steps, please. Mahalo Boat Adventure Inc. has a July 31 year-end. It showed the following partial amortization schedules regarding
only the f) g) h) with steps, please.
Mahalo Boat Adventure Inc. has a July 31 year-end. It showed the following partial amortization schedules regarding two bond issues: Bond Issue A
Period Ending | (A) Cash Interest Paid $610,000 9.0% 6/12 | (B) Period Interest Expense (E) 8.0% 6/12 | (C) Amort. (A) (B) | (D) Unamortized Balance | (E) Carrying Value $610,000 + (D) | ||||||||||||||||||||
June 1/20 | $ | 38,611 | $ | 648,611 | |||||||||||||||||||||
Dec. 1/20 | $ | 27,450 | $ | 25,944 | $ | 1,506 | 37,105 | 647,105 | |||||||||||||||||
Dec. 1/26 | 27,450 | 25,040 | 2,410 | 13,578 | 623,578 | ||||||||||||||||||||
June 1/27 | 27,450 | 24,943 | 2,507 | 11,071 | 621,071 | ||||||||||||||||||||
Dec. 1/27 | 27,450 | 24,843 | 2,607 | 8,464 | 618,464 | ||||||||||||||||||||
June 1/28 | 27,450 | 24,739 | 2,711 | 5,753 | 615,753 | ||||||||||||||||||||
Dec. 1/28 | 27,450 | 24,630 | 2,820 | 2,933 | 612,933 | ||||||||||||||||||||
June 1/29 | 27,450 | 24,517 | 2,933 | 0 | 610,000 | ||||||||||||||||||||
Totals | $ | 494,100 | $ | 455,489 | $ | 38,611 | |||||||||||||||||||
*Adjusted for rounding (For all requirements, do not round intermediate calculations. Round the final answers to the nearest whole dollar.)
Required: 1. Bond Issue A a. Were the bond A issued at a premium and/or discount?
b. Journalize the issuance of bond A on June 1, 2020. c. What is the contract interest rate for the issue bond A? d. Interest of how much is paid how often for bond A issued? e. What is the term of bond A issue? f. Show how bond A would appear on the balance sheet under non-current liabilities at July 31, 2026. (Enter all amounts as positive values.) g. Calculate the total bond A interest expense that would appear on the income statement for the year ended July 31, 2027.
h. Independent of (a) through (g), assume bond A issues were retired on December 1, 2027, at 97. Record the entries
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