a. Prepare a bond amortization schedule for 2020 and 2021 using the effective interest method. Note: Round each amount entered into the schedule to the nearest whole dollar. Use the rounded amount for later calculations in the schedule.   Date Stated Interest Market Interest Discount Amortization Bond Amortized Cost Jul. 1, 2020       Answer Jan. 1, 2021 Answer Answer Answer Answer Jul. 1, 2021 Answer Answer Answer Answer   b. Record the entry for the purchase of the bonds by West Company on July 1, 2020. c. Record the adjusting entry by West Company on December 31, 2020. The fair value of the bonds at December 31, 2020, was $153,900.

On August 1, 2021, Crane Company acquired 1310, $1000, 9% bonds at 97 plus accrued interest. The bonds were dated May 1, 2018, and mature on April 30, 2027, with interest paid each October 31 and April 30. The bonds will be added to Crane’s available-for-sale portfolio. The preferred entry to record the purchase of the bonds on August 1, 2021 isa. Debt Investments 1310000   Interest Revenue 29475         Discount on Debt Investments 39300       Cash   1300175 b. Debt Investments 1300175         Cash   1300175 c. Debt Investments 1270700   Interest Receivable 29475         Cash   1300175 d. Debt Investments 1270700   Interest Revenue 29475         Cash   1300175

On January 1, 2020, Ehrlich Corporation issued 7%, 10-year bonds with a face amount of $800,000 at 97. Interest is payable annually on January 1.   Instructions Prepare the following entries: record the issuance of the bonds on 1/1/20 first annual interest accrual on 12/31/20 amortization, assuming that the company uses straight-line amortization on 12/31/20 payment of interest on 1/1/21 What is the unamortized balance of the discount account at 1/1/21? What is the carrying value of the bond at 1/1/21?.

devers corporation issued $400 000 6% bonds on may 1 2020. the bonds were dated january 1 2020 and mature january 1 2023 with interest payable july 1 and january 1. The bonds were issued at face vale plus accrued interest. prepare deverss journal entries for (a) the may 1 issuance (b) the july 1 interest payment and (c) dec 31 adjusting entry

PART 1 Recording Entries for AFS Debt Securities— Effective Interest Method Adjust FVA at Year-End On July 1, 2020, West Company purchased for cash, twelve $10,000 bonds of North Corporation to yield 10%. The bonds pay 9% interest, payable on a semiannual basis each July 1 and January 1, and mature on July 1, 2023. The bonds are classified as AFS securities. The annual reporting period ends December 31. Assume the effective interest method of amortization of any discount or premium. Amortization Schedule - PART 1 Journal Entries and FS Presentation for 2020 - PART 1 Journal Entries for 2021 - PART 2 a. Prepare a bond amortization schedule for 2020 and 2021 using the effective interest method. Note: Round each amount entered into the schedule to the nearest whole dollar. Date StatedInterest MarketInterest DiscountAmortization BondAmortized Cost Jul. 1, 2020       Answer Jan. 1, 2021 Answer Answer Answer Answer Jul. 1, 2021 Answer Answer Answer Answer   b.…

Recording Entries for HTM Debt Securities— Effective Interest Method On July 1, 2020, West Company purchased for cash, sixteen $10,000 bonds of North Corporation to yield 10%. The bonds pay 9% interest, payable on a semiannual basis each July 1 and January 1, and mature on July 1, 2023. The bonds are classified as held-to-maturity securities. The annual reporting period ends December 31. Assume the effective interest method of amortization of any discount or premium.  d. Indicate the effects of this investment on the 2020 income statement and year-end balance sheet. Note: List accounts in alphabetical order.

journal entries (Straight-line amortization) ABC Incorporated issued bonds to DEF Corporation on January 1, 2019 with following terms: 5-year maturity, annual coupon rate of 6%, pays interest on June 30 and December 31, $200,000 principal. Consider three different cases: (a) issued at par, (b) issued at 95, and (c)issued at 102. Assume that DEF Corporation intends to hold to maturity the bonds. Prepare the journal entries required on January 1, 2021, and on June 30, 2021, for both þarties. Use straight-line amortization to record interest.

Freitas Corporation was organized early in 2024. The following expenditures were made during the first few months of the year: Attorneys’ fees in connection with the organization of the corporation $ 12,200 State filing fees and other incorporation costs 3,200 Purchase of a patent 20,100 Legal and other fees for transfer of the patent 2,200 Purchase of equipment 30,100 Preopening salaries and employee training 40,100 Total $ 107,900 Required: Prepare a summary journal entry to record the $107,900 in cash expenditures. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.

Subject-Acounting

Recording Entries for TS—Effective Interest Method Adjust FVA at Year-End On July 1, 2020, West Company purchased for cash, fifteen $10,000 bonds of North Corporation at a market rate of 6%. The bonds pay 5% interest, payable on a semiannual basis each July 1 and January 1, and mature on July 1, 2023. The bonds are classified as trading securities. The annual reporting period ends December 31. Assume the effective interest method of amortization of any discounts or premiums. Ignore income taxes.  Amortization Schedule Journal Entries in 2020 Journal Entries in 2021 a. Prepare a bond amortization schedule for the life of the bonds using the effective interest method. Note: Round each amount entered into the schedule to the nearest whole dollar. Use the rounded amount for later calculations in the schedule. Adjust market interest in the final year of the bond term for any net rounding difference. Date StatedInterest MarketInterest DiscountAmortization BondAmortized Cost Jul.…