Auerbach Inc. issued 4% bonds on October 1, 2021. The bonds have a maturity date of September 30, 2031 and a face value of $300 million. The bonds pay interest each March 31 and September 30, beginning March 31, 2022. The effective interest rate established by the market was 6%. Assuming that Auerbach issued the bonds for $255,369,000, what would the company report for its net bond liability balance after its first interest payment on March 31, 2022, rounded up to the nearest thousand?

Q: On June 30, 2020, Ayayai Company issued $3,810,000 face value of 16%, 20-year bonds at $4,956,520, a…

A: Introduction: A journal entry is a recording of a business contract in the accounting system of a…

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Q: On January 1, 2020, MNOCompany issued its 9%, P2 million bonds, which mature on January 1, 2030. The…

A:

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A: GIVEN   On January 1, 2021, Instaform, Inc., issued 12% bonds with a face amount of $60 million,…

Q: Req 1 Req 2 to 4 Prepare the journal entries to record their issuance by The Bradford Company on…

A: The journal entry can be defined as the very first step where a transaction is entered into books of…

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A: The bonds are the financial instruments for the business to raise money from the investors. The…

Q: On January 1, 2024, Instaform, Incorporated, issued 10% bonds with a face amount of $48 million,…

A: "Bonds" refer to debt securities that are typically issued by corporations, governments, or other…

Q: Auerbach Inc. Issued 10% bonds on October 1, 2021. The bonds have a maturity date of September 30,…

A: Bonds are a form of debt or liability for the business, on which regular interest payments also…

Q: mine the price of the bonds at January 1, 2021. re the journal entry to record their issuance by…

A: Hello. Since your question has multiple parts, we will solve first question for you. If you want…

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A: Solution: Bond price is computed as present value periodic interest and maturity amount discounted…

Q: On January 1, 2020, Everly Bottle Company sold $4,000,000 in long-term bonds. The bonds will mature…

A: Bonds payable refers to a type of long-term debt that a company or organization issues to borrow…

Q: On January 1, 2022, Broncos Universal issued 12% bonds dated January 1, 2022, with a face amount of…

A: Bond Price :— It is sum of present value of periodic interest payment and face value amount.    If…

Q: On January 2, 2012, Halcon Company issued 9% bonds in the amount of P8,000,000 which mature on…

A: The bonds are issued at discount when market rate is higher than the coupon rate of bonds payable.

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A: 1. Determine the price of the bonds at January 1, 2021.

Q: On January 1, 2018, Wauwatosa Inc. issued 5- year bonds with a fave value of $200,000 and a stated…

A: When the issue price of the bond is higher than its face value, the bonds are said to be issued at a…

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A: Bonds meaning:- Bonds are debt securities or financial instruments issued by governments,…

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A:

Q: $939,000 to yield 10%. Alquds uses the effective-interest method of amortizing bond discount.…

A: Un amortized bond discount ,7/1/ Year 1   Bond discount amortization ,7/1/ Year 1 to  6/30/Year3:…

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A: Bonds are the debts for the company issued to the investors at fixed rate of interest. There are…

Q: Claremont Inc. issued a $400,000 bond on January 1, 2020. The bond had a five-year life and an 8%…

A: A bond is an instrument of an indebtedness to the holders of bond issuer in finance. The most…

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A: 1.

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A: The bonds refer to the debt instruments issued by corporations and government entities. When bonds…

Q: On June 30, 2021, Moran Corporation issued $13.5 million of its 6% bonds for $12.1 million. The…

A:

Q: On May 1, 2016, Bench Co. issued 11% bonds in the face amount of P 1,000,000 that mature on May 1,…

A: Solution: Face amount of bond= P1,000,000 Premium on issue of bond = P62,000 Issue price of bond =…

Q: When Patey Pontoons issued 10% bonds on January 1, 2024, with a face amount of $560,000, the market…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Agee Technology, Inc., issued 9% bonds, dated January 1, with a face amount of $400 million on July…

A:

Q: When Patey Pontoons issued 4% bonds on January 1, 2024, with a face amount of $660,000, the market…

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A: Bonds are issued by companies and government entities to raise the required funds for meeting the…

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A: Please see Step 2 for required information.

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Q: On January 1, 2018, Surreal Manufacturing issued 560 bonds, each with a face value of $1,000, a…

A: Cash Interest=Face Value×Interest rate=$560,000×3%=$16,800

Q: 1. Prepare a bond amortization schedule. 2-5. Prepare the journal entries to record the bond issue,…

A: "Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: On January 1, 2018, Oman Cables Industry (SAOG) issued 12% bonds dated January 1, 2018, with a…

A: The present value represents the present value of the bond that will be redeemed in the future.…

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A: Prepare journal entries as follows: Result:

Q: The Bradford Company issued 12% bonds, dated January 1, with a face amount of $92 million on January…

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Q: On January 1, 2023, ACT Company issues 1,000 of its 12%, P 1,000 face value bonds at 112, a price…

A: The underwriting fees of 20,000, and the printing cost of bond certificates of P50,000 here are the…

Q: The Bradford Company issued 10% bonds, dated January 1, with a face amount of $94 million on January…

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Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.