In June 1868, an entrepreneur issued $1000 bonds (to pay for an access road in a city). The bonds carried an 8% annual interest rate payable semiannually. The entrepreneur paid the interest until June 1899, at which time the city assumed responsibility for the bonds (and the road they financed). (a) The first of these bonds matured in June 2006. At that time, how much interest had the city paid on this bond? (b) Another of these bonds will not mature until June 2150! At that time, how much interest will the city have paid on this bond?
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- In July 1868, an entrepreneur issued $1000 bonds (to pay for an access road in a city) the bonds carried a 5% annual interest rate payable semiannually. The entrepreneur paid the interest until July 1875 , at which time the city assumed responsibility for the bonds (and the road they financed) (a) The first of these bonds matured in July 2008. At that time , how much intrest had the city paid on this bond? (B) another of these bonds will not mature until July 2140! At that time , how much interest will the city have paid on this bond?The city of Clinton was incorporated on January 1, 2014. On December 31, 2019, a careful study of the city’s records revealed the following information regarding long-term debt: a. General obligation bonds in the amount of $1,500,000 were authorized and issued at face value on July 1, 2014, to finance the construction of a school. The 6% bonds pay interest semiannually on January 1 and July 1, and they mature 10 years from the issuance date. b. Serial bonds of $1,000,000 were sold at 99 on January 1, 2016, to help finance a new city hall and cultural center. An additional $750,000 was received from an anonymous benefactor. The 5% serial bonds were to be redeemed in annual amounts of $100,000, beginning on January 1, 2019. A sinking fund was established on January 2, 2016, to provide for the retirement of the serial bonds. Deposits of $70,000 were to be made on January 2 of each year, beginning in 2016. All amounts deposited were invested immediately at a net yield of 8%. c. Property…The City of Oriole issued 300 bonds at their face value of $2,000 each plus accrued interest on June 1, 2023. The term of the bonds was January 1, 2023, to January 1, 2029, with interest payable semi-annually each January 1 and July 1 at 6%. Oriole uses the effective interest method.Prepare the journal entry for the date of issuance. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.) Account Titles and Explanation Debit Credit Bonds Payable
- Riverbed Co. is building a new music arena at a cost of $5,652,000. It received a down payment of $642,000 from local businesses to support the project, and now needs to borrow $5,010,000 to complete the project. It therefore decides to issue $5,010,000 of 7%, 20- year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 9%. Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to O decimal place e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date Account Titles and Explanation January 1,2024 Cash Discount on Bonds Payable Bonds Payable Debit 4095316 914684 Credit 5010000 Prepare a bond amortization…The City of Crane issued 300 bonds at their face value of $4,000 each plus accrued interest on June 1, 2023. The term of the bonds was January 1, 2023, to January 1, 2029, with interest payable semi-annually each January 1 and July 1 at 9%. Crane uses the effective interest method. (a) Prepare the journal entry for the date of issuance. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)Splish Co. is building a new hockey arena at a cost of $2,660,000. It received a downpayment of $450,000 from local businesses to support the project, and now needs to borrow $2,210,000 to complete the project. It therefore decides to issue $2,210,000 of 11.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 10%. Click here to view factor table. (a) Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to 0 decimal places, e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date January 1, 2024 Account Titles and Explanation Debit Credit
- Coronado Co. is building a new hockey arena at a cost of $2,420,000. It received a downpayment of $510,000 from local businesses to support the project, and now needs to borrow $1,910,000 to complete the project. It therefore decides to issue $1,910,000 of 10.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 9%. Click here to view factor table. (a) Your answer is partially correct. Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to O decimal places, e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date January 1, 2024 Account Titles and Explanation Cash Premium on Bonds Payable…Bonita Co. is building a new hockey arena at a cost of $2,690,000. It received a downpayment of $550,000 from local businesses to support the project, and now needs to borrow $2,140,000 to complete the project. It therefore decides to issue $2,140,000 of 12.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 11%. Click here to view factor table. (a) Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to O decimal places, e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date Account Titles and Explanation January 1, 2024 (b) Your answer is partially correct. eTextbook and Media /1/25 List…Coronado Co. is building a new hockey arena at a cost of $2,370,000. It received a downpayment of $520,000 from local businesses to support the project, and now needs to borrow $1,850,000 to complete the project. It therefore decides to issue $1,850,000 of 10.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 9% Click here to view factor table. (a) (b) Prepare a bond amortization schedule up to and including January 1, 2028, using the effective-interest method. (Round present value factor to 5 decimal places, e.g. 1.24356 and final answers to O decimal places, e.g. 38,548.) late Cash Paid Interest Expense 1/24 $ $ $ 1/25 1/26 1/27 1/28 and Media Premium Amortization $ Carrying Value of Bonds
- Cheyenne Co. is building a new hockey arena at a cost of $2,360,000. It received a downpayment of $500,000 from local businesses to support the project, and now needs to borrow $1.860,000 to complete the project. It therefore decides to issue $1,860.000 of 10%, 10-year bonds. These bonds were issued on January 1.2019, and pay interest annually on each January 1 The bonds yield 9%. (a) Your answer is partially correct. Prepare the journal entry to record the issuance of the bonds on January 1. 2019. (Round present value factor calculations to 5 decimal places, eg. 1.25124 and the final answer to O decimal places eg. 58,971. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually) Date Account Titles and Explanation Debit Credit January 1, 2019 Cash 1978482 Bonds Payable 1860000 118482 Premium on Bonds PayableSwifty Co. is building a new hockey arena at a cost of $2,600,000. It received a downpayment of $460,000 from local businesses to support the project, and now needs to borrow $2,140,000 to complete the project. It therefore decides to issue $2,140,000 of 12.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 11%. Click here to view factor table. (a) Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to 0 decimal places, e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date January 1, 2024 Account Titles and Explanation Cash Bonds Payable Premium on Bonds Payable Debit Credit IIISunland Co. is building a new hockey arena at a cost of $2,680,000. It received a downpayment of $500,000 from local businesses to support the project, and now needs to borrow $2,180,000 to complete the project. It therefore decides to issue $2,180,000 of 10.0%, 10-year bonds. These bonds were issued on January 1, 2024, and pay interest annually on each January 1. The bonds yield 9%. Click here to view factor table. (a) Prepare the journal entry to record the issuance of the bonds on January 1, 2024. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to 0 decimal places, e.g. 58,971. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) Date January 1, 2024 Account Titles and Explanation Cash Discount on Bonds Payable Bonds Payable Debit 920,854 Credit…