Table Chart Insert Text Shape Media Comment OLOVOZ DO POLUGU Toomas Tuco $8,000,000 at 103. Interest is paid on October 1 and April 1, with any premiums or discounts amortized on a straight-line basis. 18. The entry to record the issuance of the bonds would include a a. credit of $200,000 to Interest Payable. b. credit of $7,760,000 to Bonds Payable. c. credit of $240,000 to Premium on Bonds Payable. d. debit of $2400,000 to Discount on Bonds Payable. 19.Bond interest expense reported on the December 31, 2017 income statement of Bartley Corporation would be a $106,000 b. $92,000 c. $100,000 d. $94,000 20.At the beginning of 2017, Wallace Corporation issued 10% bonds with a face value of $6,000,000. These bonds mature in the five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $5,558,400 to yield 12%. Wallace uses a calendar-year reporting period. Using the effective-interest method of amortization, what amount of interest expense should be reported for 2018? (Round your answer to the nearest dollar.) a $677,549 b. $669,018 c. $667,000 I d. $680,000 21. Kant Corporation retires its $500,000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at the redemption date is $471,250. The entry to record the redemption will include a a. credit of $28,750 to Loss on Bond Redemption. b. credit of $28,750 to Discount on Bonds Payable, c. debit of $38,750 to Gain on Bond Redemption. d. debit of $10,000 to Premium on Bonds Payable. 16. At December 31, 2020 the following balances existed on the books of Rentro Corporation: Bonds Payable $7,000,000 Discount on Bonds Payable 960,000 Interest Payable 168,000 If the bonds are retired on January 1, 2021, at 101, what will Rentro report as a loss on redemption? a $700,000 b. $945,000 c. $1,030,000 d. $1,120,000 17.Downing Company issues $5,000,000, 5%, 5-year bonds dated January 1, 2017 on January 1, 2017. The bonds pay interest semiannually on June 30 and December 31. The bonds are issued to yield 6%. What are the proceeds from the bond issue? 2.5% 3.0% 5.0% 6.0% Present value of a single sum for 5 periods .88385 .86261 .78353 .74726 Present value of a single sum for 10 periods .78120 .74409 .61391 55839 Present value of an annuity for 5 periods 4.64583 4.57971 4.32948 4.21236 Present value of an annuity for 10 periods 8.75206 8.53020 7.72173 7.36009 a. $5,000,000 b. $4,786,725 c. $5,785,120 d. $4,789,390 16. At December 31, 2020 the following balances existed on the books of Rentro Corporation: Bonds PayableS7,000,000 Discount on Bonds Payable 960,000 Interest Payable 168,000 If the bonds are retired on January 1, 2021, at 101, what will Reatre report as a loss on redemption? a. $700,000 b. $945,000 c. $1,030,000 d. $1,120,000 6.0% .88385 17 Downing Company issues $5,000,000, 5%, 5-year bonds dated January 1, 2017 on January 1, 2017. The bonds pay interest semiannually on June 30 and December 31. The bonds are issued to yield 6%. What are the proceeds from the bond issue? 2.5% 3.0% 5.0% Present value of a single sum for 5 periods .86261 .78353 .74726 Present value of a single sumu for 10 periods .78120 74409 .61391 55839 Present value of an annuity for 5 periods 4.64583 4.57971 4.32948 4.21236 Present value of an annuity for 10 periods 8.75206 8.53020 7.72173 7.36009 a. $5,000,000 b. $4,786,725 c. $5,785,120 d. $4,789,390 On October 1, 2017 Bartley Corporation issued 5%, 10-year bonds with a face value of $8,000,000 at 103. Interest is paid on October 1 and April 1, with any premiums or discounts amortized on a straight-line basis. 18. The entry to record the issuance of the bonds would include a a. credit of $200,000 to Interest Payable. b. credit of $7.760,000 to Bonds Payable, c. credit of $240,000 to Premium on Bonds Payable d. debit of $2400,000 to Discount on Bonds Payable. 19.Bond interest expense reported on the December 31, 2017 income statement of Bartley Corporation would be a. $106,000 b. $92.000 c. $100,000 d. $94.000 20.At the beginning of 2017. Wallace Corporation issued 10% bonds with a face value of $6,000,000. These bonds mature in the five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $5,558.400 to yield 12%. Wallacc uses a calendar-year reporting period. Using the effective interest method of amortization, what amount of interest expense should be reported for 2018? (Round your answer to the nearest dollar) a. $677.549 b. 5669,018 c. 5667,000 d. $680,000 Table Chart Insert Text Shape Media Comment OLOVOZ DO POLUGU Toomas Tuco $8,000,000 at 103. Interest is paid on October 1 and April 1, with any premiums or discounts amortized on a straight-line basis. 18. The entry to record the issuance of the bonds would include a a. credit of $200,000 to Interest Payable. b. credit of $7,760,000 to Bonds Payable. c. credit of $240,000 to Premium on Bonds Payable. d. debit of $2400,000 to Discount on Bonds Payable. 19.Bond interest expense reported on the December 31, 2017 income statement of Bartley Corporation would be a $106,000 b. $92,000 c. $100,000 d. $94,000 20.At the beginning of 2017, Wallace Corporation issued 10% bonds with a face value of $6,000,000. These bonds mature in the five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $5,558,400 to yield 12%. Wallace uses a calendar-year reporting period. Using the effective-interest method of amortization, what amount of interest expense should be reported for 2018? (Round your answer to the nearest dollar.) a $677,549 b. $669,018 c. $667,000 I d. $680,000 21. Kant Corporation retires its $500,000 face value bonds at 102 on January 1, following the payment of interest. The carrying value of the bonds at the redemption date is $471,250. The entry to record the redemption will include a a. credit of $28,750 to Loss on Bond Redemption. b. credit of $28,750 to Discount on Bonds Payable, c. debit of $38,750 to Gain on Bond Redemption. d. debit of $10,000 to Premium on Bonds Payable. 16. At December 31, 2020 the following balances existed on the books of Rentro Corporation: Bonds Payable $7,000,000 Discount on Bonds Payable 960,000 Interest Payable 168,000 If the bonds are retired on January 1, 2021, at 101, what will Rentro report as a loss on redemption? a $700,000 b. $945,000 c. $1,030,000 d. $1,120,000 17.Downing Company issues $5,000,000, 5%, 5-year bonds dated January 1, 2017 on January 1, 2017. The bonds pay interest semiannually on June 30 and December 31. The bonds are issued to yield 6%. What are the proceeds from the bond issue? 2.5% 3.0% 5.0% 6.0% Present value of a single sum for 5 periods .88385 .86261 .78353 .74726 Present value of a single sum for 10 periods .78120 .74409 .61391 55839 Present value of an annuity for 5 periods 4.64583 4.57971 4.32948 4.21236 Present value of an annuity for 10 periods 8.75206 8.53020 7.72173 7.36009 a. $5,000,000 b. $4,786,725 c. $5,785,120 d. $4,789,390 16. At December 31, 2020 the following balances existed on the books of Rentro Corporation: Bonds PayableS7,000,000 Discount on Bonds Payable 960,000 Interest Payable 168,000 If the bonds are retired on January 1, 2021, at 101, what will Reatre report as a loss on redemption? a. $700,000 b. $945,000 c. $1,030,000 d. $1,120,000 6.0% .88385 17 Downing Company issues $5,000,000, 5%, 5-year bonds dated January 1, 2017 on January 1, 2017. The bonds pay interest semiannually on June 30 and December 31. The bonds are issued to yield 6%. What are the proceeds from the bond issue? 2.5% 3.0% 5.0% Present value of a single sum for 5 periods .86261 .78353 .74726 Present value of a single sumu for 10 periods .78120 74409 .61391 55839 Present value of an annuity for 5 periods 4.64583 4.57971 4.32948 4.21236 Present value of an annuity for 10 periods 8.75206 8.53020 7.72173 7.36009 a. $5,000,000 b. $4,786,725 c. $5,785,120 d. $4,789,390 On October 1, 2017 Bartley Corporation issued 5%, 10-year bonds with a face value of $8,000,000 at 103. Interest is paid on October 1 and April 1, with any premiums or discounts amortized on a straight-line basis. 18. The entry to record the issuance of the bonds would include a a. credit of $200,000 to Interest Payable. b. credit of $7.760,000 to Bonds Payable, c. credit of $240,000 to Premium on Bonds Payable d. debit of $2400,000 to Discount on Bonds Payable. 19.Bond interest expense reported on the December 31, 2017 income statement of Bartley Corporation would be a. $106,000 b. $92.000 c. $100,000 d. $94.000 20.At the beginning of 2017. Wallace Corporation issued 10% bonds with a face value of $6,000,000. These bonds mature in the five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $5,558.400 to yield 12%. Wallacc uses a calendar-year reporting period. Using the effective interest method of amortization, what amount of interest expense should be reported for 2018? (Round your answer to the nearest dollar) a. $677.549 b. 5669,018 c. 5667,000 d. $680,000