Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

please solve it within 10 mins Crane's Motor Corp. issued $430,000 of 4.0%,5-year bonds on April 1, 2024. Interest is payable semi-annually on April 1

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

please solve it within 10 mins

Crane's Motor Corp. issued $430,000 of 4.0%,5-year bonds on April 1, 2024. Interest is payable semi-annually on April 1 and October 1. On April 1, 2026, immediately after making and recording the semi-annual interest payment, Crane's redeemed the bonds. Below is a partial amortization schedule for the first few years of the bond issue. Were the bonds issued at a discount or at a premium? The bonds were issued at a What is the bond's face value? Face value $ What will be the bond's carrying amount at the maturity date? Bond's carrying amount $ Prepare the journal entry to record the payment of interest on Oct 1, 2024. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 2 decimal places, e.g. 5,275.25.) Prepare the journal entry to record the redemption of the bonds assuming they were redeemed at 100. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 2 decimal places, e.g. 5,275.25.) Prepare the journal entry to record the redemption of the bonds assuming they were redeemed at 96. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round answers to 2 decimal places, e.g. 5,275.25.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions