On May 1, 2022, Ivanhoe Corp. issued $990,000, 9%, 5-year bonds at face value. The bonds were dated May 1, 2022, and pay interestannually on May 1. Financial statements are prepared annually on December 31.List of accounts Accounts PayableAccounts ReceivableAccumulated Depreciation-BuildingsAccumulated Depreciation-EquipmentAllowance for Doubtful AccountsBad Debt ExpenseBonds PayableBuildingsCashCash DividendsCommon StockDepreciation ExpenseDiscount on Bonds PayableDividends PayableEquipmentGain on Bond RedemptionInterest ExpenseInterest PayableInventoryLandLease LiabilityLeased Asset-EquipmentLoss on Bond RedemptionMortgage PayableNotes PayableOther Operating ExpensesPaid-in Capital in Excess of Par-Common StockPaid-in Capital in Excess of Par-Preferred StockPreferred StockPremium on Bonds PayableRent ExpenseRent RevenueRetained EarningsRight-of-Use-AssetSalaries and Wages ExpenseSalaries and Wages PayableSales RevenueTreasury StockUnearned Rent Revenue Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount isentered. Do not indent manually)(b)DateMay 1,2022eTextbook and Media(c)Account Titles and ExplanationList of AccountsSave for LaterDateDec 31,2022Prepare the adjusting entry to record the accrual of interest on December 31, 2022. (Credit account titles are automatically indentedwhen amount is entered. Do not indent manually.)Account Titles and ExplanationeTextbook and MediaList of AccountsSave for LaterDebitIvanhoe Corp.Balance Sheet (Partial)DebitAttempts: 0 of 2 used Submit AnswerCreditAttempts: 0 of 2 usedNZXTCreditShow the balance sheet presentation on December 31, 2022. (Enter account name only and do not provide descriptive information.)Submit AnswerC (d)Prepare the journal entry to record payment of interest on May 1, 2023. (Credit account tities are automatically indented whenamount is entered. Do not indent manually)(e)Date Account Titles and ExplanationMay 12023(f)eTextbook and MediaList of AccountsSave for LaterDateDec. 31,2023Prepare the adjusting entry to record the accrual of interest on December 31, 2023. (Credit account titles are automatically indentedwhen amount is entered. Do not indent manually)eTextbook and MediaList of AccountsAccount Titles and ExplanationSave for LaberDateJan 1,2024Jan. 1,2024Account Titles and Explanation(To record payment of interest)(To record redemption of the bonds)eTextbook and MediaDebitAssume that on January 1, 2024, Ivanhoe pays the accrual bond interest and calls the bonds. The call price is 103. Record thepayment of interest and redemption of the bonds. (Credit account titles are automatically indented when amount is entered. Do notindent manually)List of AccountsSave for LaterAttempts: 0 of 2 usedDebitAttempts: 0 of 2 usedDebitCreditSubmit AnswerAttempts: 0 of 2 usedCreditSubmit AnswerCreditSubmit Answer

Entry on issuance of Bond 1 may 2022. Cash/bank accounts dr. 990000 :to…

Answered: $990,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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On May 1, 2022, Ivanhoe Corp. issued $990,000, 9%, 5-year bonds at face value. The bonds were dated May 1, 2022, and pay interest annually on May 1. Financial statements are prepared annually on December 31. List of accounts Accounts Payable Accounts Receivable Accumulated Depreciation-Buildings Accumulated Depreciation-Equipment Allowance for Doubtful Accounts Bad Debt Expense Bonds Payable Buildings Cash Cash Dividends Common Stock Depreciation Expense Discount on Bonds Payable Dividends Payable Equipment Gain on Bond Redemption Interest Expense Interest Payable Inventory Land Lease Liability Leased Asset-Equipment Loss on Bond Redemption Mortgage Payable Notes Payable Other Operating Expenses Paid-in Capital in Excess of Par-Common Stock Paid-in Capital in Excess of Par-Preferred Stock Preferred Stock Premium on Bonds Payable Rent Expense Rent Revenue Retained Earnings Right-of-Use-Asset Salaries and Wages Expense Salaries and Wages Payable Sales Revenue Treasury Stock Unearned Rent Revenue

Prepare the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when amount is
entered. Do not indent manually)
(b)
Date
May 1,
2022
eTextbook and Media
(c)
Account Titles and Explanation
List of Accounts
Save for Later
Date
Dec 31,
2022
Prepare the adjusting entry to record the accrual of interest on December 31, 2022. (Credit account titles are automatically indented
when amount is entered. Do not indent manually.)
Account Titles and Explanation
eTextbook and Media
List of Accounts
Save for Later
Debit
Ivanhoe Corp.
Balance Sheet (Partial)
Debit
Attempts: 0 of 2 used Submit Answer
Credit
Attempts: 0 of 2 used
NZXT
Credit
Show the balance sheet presentation on December 31, 2022. (Enter account name only and do not provide descriptive information.)
Submit Answer
C

(d)
Prepare the journal entry to record payment of interest on May 1, 2023. (Credit account tities are automatically indented when
amount is entered. Do not indent manually)
(e)
Date Account Titles and Explanation
May 1
2023
(f)
eTextbook and Media
List of Accounts
Save for Later
Date
Dec. 31,
2023
Prepare the adjusting entry to record the accrual of interest on December 31, 2023. (Credit account titles are automatically indented
when amount is entered. Do not indent manually)
eTextbook and Media
List of Accounts
Account Titles and Explanation
Save for Laber
Date
Jan 1,
2024
Jan. 1,
2024
Account Titles and Explanation
(To record payment of interest)
(To record redemption of the bonds)
eTextbook and Media
Debit
Assume that on January 1, 2024, Ivanhoe pays the accrual bond interest and calls the bonds. The call price is 103. Record the
payment of interest and redemption of the bonds. (Credit account titles are automatically indented when amount is entered. Do not
indent manually)
List of Accounts
Save for Later
Attempts: 0 of 2 used
Debit
Attempts: 0 of 2 used
Debit
Credit
Submit Answer
Attempts: 0 of 2 used
Credit
Submit Answer
Credit
Submit Answer

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