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This question has two parts. Thanks on advamce for any assistance. Required information Exercise 9-9B Record bonds issued at a premium and related semiannual interest
This question has two parts. Thanks on advamce for any assistance.
Required information Exercise 9-9B Record bonds issued at a premium and related semiannual interest (LO9-5) [The following information applies to the questions displayed below] On January 1, Year 1, a company issues $460,000 of 8% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year. Assuming the market interest rate on the issue date is 7%, the bonds will issue at $502,303 Exercise 9-9B Part 1 Required: 1. Complete the first three rows of an amortization table. (Round your final answers to the nearest whole dollar) Date Cash Paid Interest Expense Decrease in Carrying Value Carrying Value $ 502,303 503,129 1/1/Year 1 6/30/Year 1 12/31/Year 1 $ 819 18,400 $ 18,400 17,581 $ 17,609 791 503,913 Required information Exercise 9-9B Record bonds issued at a premium and related semiannual interest (LO9-5) [The following information applies to the questions displayed below.) On January 1. Year 1, a company issues $460,000 of 8% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year. Assuming the market interest rate on the issue date is 7%, the bonds will issue at $502,303. Exercise 9-9B Part 2 2. Record the bond issue on January 1, Year 1, and the first two semiannual interest payments on June 30, Year 1, and December 31, Year 1. (If no entry is required for a particular transaction/event, select "No Journal Entry Required in the first account field, Round your final answers to the nearest whole dollar.) View transaction list Vlow journal entry worksheet No Credit General Journal Date Debit 502,303 42,303 1 January 01 Cash Discount on Bonds Payablo Bonds Payablo 460,000 17,581 . Assuming the market interest rate on the issue date is 7%, the bonds will issue at $502,303. Exercise 9-9B Part 2 2. Record the bond issue on January 1, Year 1, and the first two semiannual interest payments on June 30, Year 1, and December 31, Year 1. (if no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your final answers to the nearest whole dollar.) View transaction list View journal entry worksheet No General Journal Credit Date January 01 Debit 502,303 1 Cash Discount on Bonds Payable Bonds Payable 42,303 460,000 2 June 30 17,581 Interest Expense Discount on Bonds Payable Cash 819 18,400 3 December 31 17,609 Interest Expense Discount on Bonds Payable Cash 791 18.400 Step by Step Solution
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