PRINTER VERSION BACK NEXT Question 4 On July 1, 2017, Global Satellites Corporation issued $1,390,000 of 10-year 8% bonds to yield a market interest rate of 7%. The bonds pay semi-annual interest on July 1 and January 1. Global has a December 31 year end. When the bonds were issued, Global received $1,488,781 Click here to view the factor table. Your answer is partially correct. Try again. Prepare an amortization table through January 1, 2019 (three interest periods) for this bond issue. (Round all amounts to the nearest dollar, e.g. 5,275.) GLOBAL SATELLITES CORPORATION Bond Premium Amortization interest Expense to Semi-annual interest periods Interest to be paid Premium Amortization Unamortized Bond Carrying Premium Amount Recorded July 1/17 66781 145678 Jan. 1/18 sco 55600 1 30987 439 62166 628 7452168 1452168 AN A de 9:52 AM 700-09.16. 2 d your PC PRINTER VERSION BACK NEX Semi-annual interest periods GLOBAL SATELLITES CORPORATION Bond Premium Amortization Interest to be Interest Expense to Premium be paid Recorded Amortization Unamortized Bond Carrying Premium Amount July 1/17 66781 145678 Jan. 1/18 T 55600 30987 4613 62168 1452168 July 1/18 55600 50826 1447394 Jan. 1/19 55600 50659 4941 52453 1442453 July 1/19 T 55600 50486 5114 47339 | 1437339 Your answer is partially correct. Try again. sur PC 9:53 AM ENG 69.163 Your answer is partially correct. Try again. Record the issue of the bonds on July 1. (Credit account titles are automatically indented when the amount is entered. Do ne indent manually. Round all amounts to the nearest dollar, e.g. 5,275.) Date Account Titles and Explanation 2017 Debit Credit July 1 Cash 1455707 Bonds Payable _ Your answer is partially correct. Try again. Prepare the adjusting entry on December 31, 2018, to accrue the interest on the bonds. (Credit account titles are automatically ndented when the amount is entered. Do not indent manually. Round all amounts to the nearest dollar, e.. 5,272. Date Account Titles and Explanation 2018 Debit Credit Dec. 31 interest Expense | 50659 Bonds Payable 4941 Interest Payable 55600 Your answer is partially correct. Try again. PRINTER VERSION Show the statement of financial position presentation of the liabilities at December 31, 2018. (Round all amounts to the nea e.g. 5,275.) GLOBAL SATELLITES CORPORATION Statement of Financial Position (Partial) December 31, 2018 Current liabilities Interest Payable J Non-current liabilities Bonds Payable T 55600 1442453 x Your answer is incorrect. Try again. Prove the issue proceeds of the bonds on July 1, 2017, by calculating the present value of the bonds at that time. (For calculation purposes, use 5 decimal places as displayed in the factor table provided and final answer to the nearest dollar, c. 5,2 The bonds' present value (issue price) 14.2339