Brief Exercise 9-8 (Algo) Record bond issue at face amount and related semiannual interest (LO9-4)Pretzelmania, Incorporated, issues 7%, 10-year bonds with a face amount of $57,000 for $57,000 on January 1, 2024. Interest is paidsemiannually on June 30 and December 31,Required:1. & 2. Record the bond issue on January 1, 2024 and first interest payment on June 30, 2024. (If no entry is required for a particulartransaction/event, select "No Journal Entry Required" in the first account field.)

A bond is a type of long-term debt which is issued by a company to fulfill the need for money. The…

Answered: Brief Exercise 9-8 (Algo) Record bond…

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

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Required information Exercise 9-18 (Algo) Record bonds issued at a premium and related annual interest (LO9-5) Skip to question [The following information applies to the questions displayed below.] On January 1, 2024, White Water issues $530,000 of 6% bonds, due in 20 years, with interest payable annually on December 31 each year.Assuming the market interest rate on the issue date is 5%, the bonds will issue at $596,050. Exercise 9-18 (Algo) Part 1 Required: 1. Complete the first three rows of an amortization schedule. (Hint: Use Illustration 9–7, except the dates for the first three rows will be 1/1/2024, 12/31/2024, and 12/31/2025 since interest is payable annually rather than semiannually. Interest expense for the period ended December 31, 2024, is calculated as the carrying value of $596,050 times the market rate of 5%.) (Round your final answers to the nearest whole dollar.)
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27. Bonds Issued at a Premium (Effective Interest) Cookie Dough Corporation issued $850,000 in 9%, 10-year bonds (payable on December 31, 2032) on December 31, 2022, for $907,759. Interest is paid on June 30 and December 31. The market rate of interest is 8%. Required: Prepare the journal entries for December 31, 2024 and 2025. For those boxes in which no entry is required, leave the box blank. If required, round your answers to the nearest whole dollar.
Subject: accounting
2. Proctec Trust Inc. issued S100,000, 5 year bond on January 1, 2018 paying 4% intereston a semi-annual basis every January 1 and July 1. Instructions Using a financial calculator, or tables on pg. 550 – 551(students can also use pre-built excel formulas if they are expert users of excel program) prepare the first year journal entries for the bond issue and interest expense assuming that the company uses the effective interest method, a market interest rate of 6% and has a year-end of December 31, 2018
Issuing Bonds at Face Amount On January 1, the first day of the fiscal year, Designer Fabric Inc. issues a $250,000, 8%, 10-year bond that pays semiannual interest of $10,000 ($250,000 x 8% x ½ year), receiving cash of $250,000. (a) Journalize the entry to record the issuance of the bonds. If an amount box does not require an entry, leave it blank. (b) Journalize the entry to record the first interest payment on June 30. If an amount box does not require an entry, leave it blank. (c) Journalize the entry to record the payment of the principal on the maturity date. If an amount box does not require an entry, leave it blank. 8
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Subject: accounting
Issuing Bonds at Face Amount On January 1, the first day of the fiscal year, Designer Fabric Inc. issues a $3,000,000, 8%, 10-year bond that pays semiannual interest of $120,000 ($3,000,000 x 8% x 2 year), receiving cash of $3,000,000. (a) Journalize the entry to record the issuance of the bonds. If an amount box does not require an entry, leave it blank. Cash Bonds Payable (b) Journalize the entry to record the first interest payment on June 30. If an amount box does not require an entry, leave it blank. 88 Interest Expense Cash (c) Journalize the entry to record the payment of the principal on the maturity date. If an amount box does not require an entry, leave it blank. Bonds Payable Cash
Issuing Bonds at a Premium On the first day of the fiscal year, a company issues a $5,300,000, 8%, five-year bond that pays semiannual interest of $212,000 ($5,300,000 x 8% x ½), receiving cash of $5,520,390. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Previous Next Wodk Angieriment for Grading

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