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The three typical accounting events assoclated with borrowing money through a bond issue are: 1. Exchanging the bonds for cash on the day of issue.

image text in transcribedimage text in transcribedimage text in transcribed The three typical accounting events assoclated with borrowing money through a bond issue are: 1. Exchanging the bonds for cash on the day of issue. 2. Making cash payments for interest expense and recording amortization when applicable. 3. Repaying the principal at maturity. Required a. Assuming the bonds are Issued at face value, show the effect of each of the three events on the financial statements using a horizontal statements model. Use + for Increase, - for decrease or leave blank for not affected. b. Repeat Requirement a, but assume instead that the bonds are issued at a discount. c. Repeat Requirement a, but assume instead that the bonds are issued at a premium. Complete this question by entering your answers in the tabs below. Assuming the bonds are issued at face value, show the effect of each of the three events on the financial statements using a horizontal statements model. Use + for increase, - for decrease or leave blank for not affected. (In the Statement of Cash Flows column, indicate whether the item is an operating activity (OA), investing activity (IA), financing activity (FA) or leave blank for not affected.) The three typical accounting events assoclated with borrowing money through a bond issue are: 1. Exchanging the bonds for cash on the day of issue. 2. Making cash payments for interest expense and recording amortization when applicable. 3. Repaying the principal at maturity. Required a. Assuming the bonds are issued at face value, show the effect of each of the three events on the financial statements using a horizontal statements model. Use + for increase, - for decrease or leave blank for not affected. b. Repeat Requirement a, but assume instead that the bonds are issued at a discount. c. Repeat Requirement a, but assume instead that the bonds are issued at a premium. Complete this question by entering your answers in the tabs below. Assuming the bonds are issued at a discount, show the effect of each of the three events on the financial statements using a horizontal statements model. Use + for increase, - for decrease or leave blank for not affected. (In the Statement of Cash Flows column, indicate whether the item is an operating activity (OA), investing activity (IA), financing activity (FA) or leave blank for not affected.) The three typical accounting events assoclated with borrowing money through a bond issue are: 1. Exchanging the bonds for cash on the day of Issue. 2. Making cash payments for interest expense and recording amortization when applicable. 3. Repaying the principal at maturity. Required a. Assuming the bonds are issued at face value, show the effect of each of the three events on the financial statements using a horizontal statements model. Use + for Increase, - for decrease or leave blank for not affected. b. Repeat Requirement a, but assume instead that the bonds are issued at a discount. c. Repeat Requirement a, but assume instead that the bonds are issued at a premium. Complete this question by entering your answers in the tabs below. Assuming the bonds are issued at a premium, show the effect of each of the three events on the financial statements using a horizontal statements model. Use + for increase, - for decrease or leave blank for not affected. (In the Statement of Cash Flows column, indicate whether the item is an operating activity (OA), investing activity (IA), financing activity (FA) or leave blank for not affected.)

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