Answered: Apr. 1 Purchased for cash $420,000 of… | bartleby

FINANCIAL ACCOUNTING

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

Apr.	1	Purchased for cash $420,000 of Vasquez City 6% bonds at 100 plus accrued interest of $6,300.
June	30	Received first semiannual interest payment.
July	31	Sold $210,000 of the bonds at 99 plus accrued interest of $1,050.
Aug.	1	Received face value of remaining bonds at their maturity.

Required:

Journalize the entries to record the above selected bond investment transactions for Beacon Trust.

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Blurred answer

Similar questions

Bond (held-to-maturity) investments Journalize the entries to record the following selected held-to-maturity investment transactions for Beacon Trust: If an amount box does not require an entry, leave it blank. a. Purchased for cash $576,000 of Vasquez City 7% bonds at 100 plus accrued interest of $10,080. b. Received first semiannual interest payment. c. Sold $288,000 of the bonds at 99 plus accrued interest of $1,680. d. Received face value of remaining bonds at their maturity.
1.Prepare Hertog Company’s journal entries to record the following transactions for the current year. May 7 Purchases Kraft bonds as a short-term investment in trading securities at a cost of $10,830. June 6 Sells its entire investment in Kraft bonds for $11,330 cash
Subject: acounting
Selected debt investment transactions for Easy A Inc., a retail business, are listed below. Easy A Inc. has a fiscal year ending on December 31. Year 1: Feb. 1 May 1 Jun. 1 Sept. 1 Oct. 1 Dec. 1 Dec. 31 Year 2: Mar. 1 Jun. 1 Sept. 1 Bought $35,000 of 6%, XYZ Co. 12-year bonds at their face amount plus accrued interest of $700. The bonds pay interest semiannually on June 1 and December 1. Bought $200,000 of Simple Tree 5%, 20-year bonds at their face amount plus accrued interest of $2,500. The bonds pay interest semiannually on March 1 and September 1. Received semiannual interest on the XYZ Co. bonds. Received semiannual interest on the Simple Tree bonds. Sold $15,000 of Simple Tree bonds at 102% plus accrued interest of $63. Received semiannual interest on the XYZ Co. bonds. Accrued $3,135 interest on the Simple Tree bonds. Accrued $175 interest on the XYZ Co. bonds. Received semiannual interest on the Simple Tree bonds. Received semiannual interest on the XYZ Co. bonds. Received…
and investment transactions nstructions structions urnalize the entries to record the following selected bond investment transactions for Hall Trust (refer to the Chart of Accounts for exact wording of account titles): 9 urnal 10 Apr. 1 Purchased for cash $372,000 of Medina City 3% bonds at 100 plus accrued interest of $2,790, paying interest semiannually. Received first semiannual interest payment. Sold $139,200 of the bonds at 98 plus accrued interest of $348. June 30 July 31 Apr. 1 Chart of Accounts Journal Jun. 30 Jul. 31 Investments-Medina City Bonds *My Work 1 moro Interest Receivable Cash Cash Interest Receivable Interest Revenue Cash Loss on Sale of Investments Interest Receivable Investments-Medina City Bonds 372,000.00 2,790.00 5,580.00 133,980.00 5,568.00 I 374,290.00 2,790.00 2,790.00 ↑ ↑ ↓ ↑ ↓ Shaded cells have feedback ↑
Journalize the entries to record the following selected bond investment transactions for Dip, Inc. You MUST use the accounts outlined in the Chapter 15 narrated PowerPoint presentations – the accounts in your textbook aren’t descriptive enough. Journal entry descriptions are not required. *(Must include all supporting calculations) Date Transaction Description 4/1/2022 Purchased for cash, $50,000 of Bump, Inc. 9% bonds at 100 plus accrued interest. The bonds pay interest on January 31st and July 31st. 7/31/2022 Received the semiannual interest payment. 10/31/2022 Sold $20,000 of bonds at 104 plus accrued interest. 12/31/2022 Accrued interest. 12/31/2022 Marked the debt investments to a market value of $34,000. The debt investments are classified as available for sale investments. 12/31/2023 Market the debt investments to a market value of $31,000. The debt investments are classified as available for sale investments.
Prepare journal entries to record the following transactions involving short-term debt investments.
A company issues a $5,000,000, 11%, five-year bond that pays semiannual interest of $275,000 ($5,000,000 _ 11% _ 1⁄2 ), receiving cash of $5,193,030. Journalize the bond issuance.
Present entries to record the selected transactions described below: a. Issued $2,750,000 of 10-year, 8% bonds at 97. If an amount box does not require an entry, leave it blank. b. Amortized bond discount for a full year, using the straight-line method. If an amount box does not require an entry, leave it blank. c. Called bonds at 98. Assume the bonds were carried at $2,692,250 at the time of the redemption. If an amount box does not require an entry, leave it blank.
eBook Show Me How Entries for investment in bonds, interest, and sale of bonds Instructions Chart of Accounts ! Journal Instructions × Bocelli Co. purchased $135,000 of 6%, 20-year Sanz County bonds on May 11, Year 1, directly from the county, at their face amount plus accrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Bocelli Co. sold $28,800 of the Sanz County bonds at 96 plus $144 accrued interest less a $85 brokerage commission. Provide journal entries for the following (refer to the Chart of Accounts for exact wording of account titles). a. The purchase of the bonds on May 11 plus 40 days of accrued interest, assume a 360-day year. b. Semiannual interest on October 1. C. Sale of the bonds on October 31. d. Adjusting entry for accrued interest of $1,593 on December 31, Year 1.
Answer complete question in the format,, please answer in text form without image
On January 1, Year 1, Price Company issued $291,000 of five-year, 5 percent bonds at 98. Interest is payable annually on December 31. The discount is amortized using the straight-line method. Required Prepare the journal entries to record the bond transactions for Year 1 and Year 2. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 > Record the entry for issuance of bonds. Note: Enter debits before credits. Date General Journal Debit Credit Jan 01 Record entry Clear entry View general journal

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS