At December 31, 2020, Redmond Company has outstanding three long-term debt issues. The first is a $2,000,000 note payable which matures June 30, 2023. The second is a $6,000,000 bond issue which matures September 30, 2024. The third is a $12,500,000 sinking fund debenture with annual sinking fund payments of $2,500,000 in each of the years 2022 through 2026. Instructions Prepare the required note disclosure for the long-term debt at December 31, 2020.

At December 31, 2020, Redmond Company has outstanding three long-term debt issues. The first is a $2,000,000 note payable which matures June 30, 2023. The second is a $6,000,000 bond issue which matures September 30, 2024. The third is a $12,500,000 sinking fund debenture with annual sinking fund payments of $2,500,000 in each of the years 2022 through 2026. Instructions Prepare the required note disclosure for the long-term debt at December 31, 2020.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter14: Financing Liabilities: Bonds And Long-term Notes Payable

Section: Chapter Questions

Problem 3E

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Prepare the required note disclosure for the long-term debt at December 31, 2020.

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