Your answer is correct Vaughn Co. sells $482,000 of 8% bonds on March 1, 2017. The bonds pay interest on September 1 and March 1 2020. The bonds yield 12%. Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.) Schedule of Bond Discount Amortization Effective-Interest Method Bonds Sold to Yield Carrying Discount Cash Interest Amount of Date Paid Expense Amortized Bonds 3/1/17 $ 428187 $ $ 9/1/17 19280 25691 6411 434598 3/1/18 26076 6796 19280 441394 9/1/18 26484 7204 448598 19280 3/1/19 7636 26916 456234 19280 9/1/19 19280 27374 8094 464328 3/1/20 8580 27860 19280 472907 9/1/20 28374 9093 19280 482000 Prepare all of the relevant journal entries from the time of sale until the date indicated. (Assume that no reversing 3/1/17 Cash 428187 Discount on Bonds Payable 53813 Bonds Payable 482000 Interest Expense 9/1/17 25691 Discount on Bonds Payable 6411 Cash 19280 17384 12/31/17 Interest Expense Discount on Bonds Payable 4531 Interest Payable 12853 Interest Expense 3/1/18 8692 Interest Payable 12853 Discount on Bonds Payable 2265 Cash 19280 Interest Expense 9/1/18 26484 Interest Expense 9/1/18 26484 Discount on Bonds Payable 7204 Cash 19280 12/31/18 Interest Expense 17944 Discount on Bonds Payable 5091 Interest Payable 12853 Click if you would like to Show Work for this question: Open Show Work Bramble Co. sells $397,000 of 12% bonds on June 1, 2017. The bonds pay interest on December 1 and June 1. T The bonds yield 8%. On October 1, 2018, Bramble buys back $127,040 worth of bonds for $132,040 (includes ac Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.) Schedule of Bond Discount Amortization Effective-Interest Method Bonds Sold to Yield Carrying Amount of Bonds Discount Amortized Cash Interest Date Paid Expense 6/1/17 450458 $ 12/1/17 18018 5802 23820 444656 6/1/18 23820 438623 17786 6034 12/1/18 17545 23820 6275 432347 6/1/19 6526 23820 17294 425821 12/1/19 23820 6787 17033 419034 6/1/20 16761 23820 7059 411976 12/1/20 16479 7341 23820 404635 7635 6/1/21 16185 23820 397000 Prepare all of the relevant journal entries from the time of sale until the date indicated. Give entries through Dece entries were made.) (Round present value factor calculations to 5 decimal places, e.g. 1.251 24 and the 58,971. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Cr indented when amount is entered. Do not indent manually.) Account Titles and Explanation Credit Date Debit 6/1/17 Cash 450458 Premium on Bonds Payable 53458 Bonds Payable 397000 12/1/17 Interest Expense 18018 Premium on Bonds Payable 5802 Cash 23820 12/31/17 Interest Expense 2964 Premium on Bonds Payable 1006 Interest Payable 3970 6/1/18 Interest Expense 14822 Premium on Bonds Payable 5028 Interest Payable 3970 Cash 23820 10/1/18 Interest Expense 17545 Premium on Bonds Payable 62756 Cash 23820 (To record interest expense and premium amortization) 10/1/18 X (To record buy back of bonds) 12/1/18 12/31/18 6/1/19 12/1/19 P Your answer is correct Vaughn Co. sells $482,000 of 8% bonds on March 1, 2017. The bonds pay interest on September 1 and March 1 2020. The bonds yield 12%. Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.) Schedule of Bond Discount Amortization Effective-Interest Method Bonds Sold to Yield Carrying Discount Cash Interest Amount of Date Paid Expense Amortized Bonds 3/1/17 $ 428187 $ $ 9/1/17 19280 25691 6411 434598 3/1/18 26076 6796 19280 441394 9/1/18 26484 7204 448598 19280 3/1/19 7636 26916 456234 19280 9/1/19 19280 27374 8094 464328 3/1/20 8580 27860 19280 472907 9/1/20 28374 9093 19280 482000 Prepare all of the relevant journal entries from the time of sale until the date indicated. (Assume that no reversing 3/1/17 Cash 428187 Discount on Bonds Payable 53813 Bonds Payable 482000 Interest Expense 9/1/17 25691 Discount on Bonds Payable 6411 Cash 19280 17384 12/31/17 Interest Expense Discount on Bonds Payable 4531 Interest Payable 12853 Interest Expense 3/1/18 8692 Interest Payable 12853 Discount on Bonds Payable 2265 Cash 19280 Interest Expense 9/1/18 26484 Interest Expense 9/1/18 26484 Discount on Bonds Payable 7204 Cash 19280 12/31/18 Interest Expense 17944 Discount on Bonds Payable 5091 Interest Payable 12853 Click if you would like to Show Work for this question: Open Show Work Bramble Co. sells $397,000 of 12% bonds on June 1, 2017. The bonds pay interest on December 1 and June 1. T The bonds yield 8%. On October 1, 2018, Bramble buys back $127,040 worth of bonds for $132,040 (includes ac Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.) Schedule of Bond Discount Amortization Effective-Interest Method Bonds Sold to Yield Carrying Amount of Bonds Discount Amortized Cash Interest Date Paid Expense 6/1/17 450458 $ 12/1/17 18018 5802 23820 444656 6/1/18 23820 438623 17786 6034 12/1/18 17545 23820 6275 432347 6/1/19 6526 23820 17294 425821 12/1/19 23820 6787 17033 419034 6/1/20 16761 23820 7059 411976 12/1/20 16479 7341 23820 404635 7635 6/1/21 16185 23820 397000 Prepare all of the relevant journal entries from the time of sale until the date indicated. Give entries through Dece entries were made.) (Round present value factor calculations to 5 decimal places, e.g. 1.251 24 and the 58,971. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Cr indented when amount is entered. Do not indent manually.) Account Titles and Explanation Credit Date Debit 6/1/17 Cash 450458 Premium on Bonds Payable 53458 Bonds Payable 397000 12/1/17 Interest Expense 18018 Premium on Bonds Payable 5802 Cash 23820 12/31/17 Interest Expense 2964 Premium on Bonds Payable 1006 Interest Payable 3970 6/1/18 Interest Expense 14822 Premium on Bonds Payable 5028 Interest Payable 3970 Cash 23820 10/1/18 Interest Expense 17545 Premium on Bonds Payable 62756 Cash 23820 (To record interest expense and premium amortization) 10/1/18 X (To record buy back of bonds) 12/1/18 12/31/18 6/1/19 12/1/19 P