Mahalo Boat Adventure Inc. has a July 31 year-end. It showed the following partial amortization schedules regarding two bond issues: Bond Issue A Period Ending June 1/23 (A) Cash Interest Paid $610,000 x 9.0% x 6/12 (B) Period Interest Expense (E) x 8.0% x 6/12 (c) Amort. (D) Unamortized (A) - (B) Balance $38,611 (E) Carrying Value $610,000 + (D) $ 648,611 Dec. 1/23 $ 27,450 $ 25,944 $ 1,506 37,105 647,105 Dec. 1/29 27,450 25,040 2,410 13,578 623,578 June 1/30 27,450 24,943 2,507 11,071 621,071 Dec. 1/30 27,450 24,843 2,607 8,464 618,464 June 1/31 27,450 24,739 2,711 5,753 615,753 Dec. 1/31 27,450 24,630 2,820 2,933 612,933 June 1/32 Totals 27,450 24,517 2,933 0 610,000 $ 494,100 $ 455,489 $38,611 "Adjusted for rounding (For all requirements, do not round intermediate calculations. Round the final answers to the nearest whole dollar.) Required: 1. Bond Issue A a. Were the bond A issued at a premium and/or discount? O Issued at discount O Issued at premium O Issued at premium & discount

Franklin corporation issues $84,000, 8%, 5-year bonds on January 1, for $87,780. Interest is paid semiannually on January 1 and July 1. If Franklin uses the straight-line method of amortization of bond premium, the amount of bond interest expense to b recognized on July 1 is O a. $3,738 O b. $6,720 Oc. $3.360 d. $2,982

Assume bonds payable are amortized using the straight-line amortization method unless stated otherwise. Reporting liabilities On December 31, MediStat Precision Instruments owes $52,000 on Accounts Payable, Salaries Payable of $12,000, and Income Tax Payable of $10,000. MediStat also has $300,000 of Bonds Payable that was issued at face value that requires payment of a $35,000 installment next year and the remainder in later years. The bonds payable require an annual interest payment of $4,000, and MediStat still owes this interest for the current year. Report MediStat’s liabilities on its classified balance sheet on December 31, 2018.

On January 1, $853,000, 5-year, 10% bonds were issued for $827,410. Interest is paid semiannually on January 1 and July 1. If the issuing corporation uses the straight-line method to amortize a discount on bonds payable, the semiannual amortization amount is a. $42,650 O Ob. $2,559 Oc. $25,590 Od. $5,118

On 31 December 20X7, a company has the following bond on the statement of financial position: Bond payable, 7%, interest due semi-annually on 31 Dec. and 30 June; maturity date, 30 June 20X11 Premium on bonds payable $5,600,000 47,040 $5,647,040

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On the first day of the fiscal year, a company issues an $565,000, 9%, 5-year bond that pays semiannual interest of $25,425 ($565,000 x 9% x 1/2), receiving cash of $531,100. Journalize the entry to record the first interest payment and the amortization of the related bond discount using the straight-line method. If an amount box does not require an entry, leave it blank.     Interest Expense       Discount on Bonds Payable       Cash

On January 1, $877,000, five-year, 10% bonds, were issued for $850,690. Interest is paid semiannually on January 1 and July 1. If the issuing corporation uses the straight-line method to amortize the discount on bonds payable, the semiannual amortization amount is a.$43,850 b.$26,310 c.$2,631 d.$5,262

On the first day of the fiscal year, a company issues a $674,000, 7%, 10-year bond that pays semiannual interest of $23,590 ($674,000 x 7% x 1/2), receiving cash of $707,700. Journalize the entry for the first interest payment and amortization of premium using the straight-line method. If an amount box does not require an entry, leave it blank.

On the first day of the fiscal year, a company issues a $896,000, 7%, 10-year bond that pays semiannual interest of $31,360 ($896,000 x 7% x 1/2), receiving cash of $940,800. Journalize the entry for the first interest payment and amortization of premium using the straight-line method. If an amount box does not require an entry, leave it blank.