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PLEASE HELP ME WITH THE ANSWERS TO D. I ONLY NEED D! Splish Brothers Inc. sold $4,200,000, 5%, 10-year bonds on January 1, 2022. The
PLEASE HELP ME WITH THE ANSWERS TO D. I ONLY NEED D!
Splish Brothers Inc. sold $4,200,000, 5%, 10-year bonds on January 1, 2022. The bonds were dated January 1 and pay interest annually on January 1. Splish Brothers Inc. uses the straight-line method to amortize bond premium or discount. The bonds were sold at 102. (a) Your answer is correct. Prepare the journal entry to record the issuance of the bonds on January 1, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 1. 2022 Cash 4284000 Premium on Bonds Payable 84000 Bonds Payable 4200000 e Textbook and Media (b) Your answer is correct. Prepare a bond premium amortization schedule for the first four interest periods. Interest Expense to Be Recorded Premium Amortization Unamortized Premium Bond Carrying Value $ 84,000 $ 4,284,000 $ 201,600 $ 8,400 75,600 4,275,600 201,600 8,400 67,200 4,267,200 201,600 8,400 58.800 4,258,800 201,600 8,400 50,400 4,250,400 e Textbook and Media Prepare the journal entries for interest and the amortization of the premium in 2022 and 2023. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit C. 31, 2022 Interest Expense 201,600 Premium on Bonds Payable 8,400 Interest Payable 210,000 11, 2023 Interest Payable 210,000 Cash 210,000 C. 31, 2023 Interest Expense 201,600 Premium on Bonds Payable 8,400 Interest Payable 210,000 (d) Show the balance sheet presentation of the bond liability at December 31, 2023. (Enter account name only and do not provide descriptive information.) Splish Brothers Inc. Balance Sheet $ taStep by Step Solution
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