On 1/1/yr 1 Wiley purchased $300,000 in 8% 5 year bonds when the effective interest rate was 10%.  The bonds pay interest on 12/31 each year.  Wiley has a 12/31 year end.   These bonds are considered available for sale Prepare journal entries for the bonds for year 1 and year 2 assuming the following fair value information: 12/31/yr 1 $250,000 and 12/31/yr 2 $265,000. Create a 3 column comparison Balance Sheet and Income Statement for 12/31/year 2. One Column for each assumption: HTM, AFS, and Trading.

Scroll down to complete all parts of this task. On October 1, Year 1, Seoma Co. issued 10%, $500,000 face amount, 5-year bonds maturing on January 1, Year 6, for $527,500. The interest is payable annually on January 1. To issue the bonds, Seoma paid legal and consulting fees of $15,300. Seoma amortizes any discount or premium on bonds using the effective interest method and debt issue costs using the straight-line method. 1. Based on the facts stated above, enter in the designated cell the appropriate dollar amount. Round all amounts to the nearest dollar. If the amount is zero, enter a zero (0). Carrying amount of Bonds payable on Seoma's October 1, Year 1, balance sheet 2. Select from the option list provided, your answer. What interest rate was greater on the date the bonds were issued? 3. Enter in the designated cell the appropriate dollar amount. Enter premium as a positive amount and discount as a negative amount. Round all amounts to the Answer 123 111

On December 31, 2021, Danny purchased $23,000 of newly issued bonds of Howard Corporation for $19,045. The bonds are dated December 31, 2021. The bonds are 9%, 10-year bonds paying interest semiannually on June 30 and December 31. The bonds are priced to yield 12% compounded semiannually. Read the requirement. Requirement a. What is the amount of the original issue discount? Start by completing the bond amortization table for the first year. (Round all amounts to the nearest dollar.) Year Interest Received December 31, 2021 June 30, 2022 December 31, 2022 Amortization of Original Issue Discount Taxpayers Basis Interest Income for the Bond The amount of the original issue discount is Requirement b. For the first semiannual period, what is the amount of the original issue discount Danny must recognize as ordinary income? (Round the amount to the nearest dollar.) The amount of the original issue discount Danny must recognize as ordinary income for the first semiannual period is…

On January 1, firm issued $500,000 of 15   year, 6 percent bonds payable for $552,325, yielding an effective rate of 5 percent. Interest is payable on June 30 and December 31 each year. The firm records amortization on each interest date.Bond interest expense for the first six months, using effective interest amortization, is: Select one: A. $15,000 B. $13,808 C. $14,059 D. $16,587 PreviousSave AnswersNext

Franklin corporation issues $86,000, 10%, 5 year bonds on January 1st for $89,900. Interest paid semi-annually on January 1st and July 1st. Is Franklin uses the straight line method of amortization of bond premium, the amount of bond interest expense to be recognized on July 1st is

On January 1, $834,000, 5-year, 10% bonds, were issued for $808,980. Interest is paid semiannually on January 1 and July 1. If the issuing corporation uses the straight-line method to amortize discount on bonds payable, what is the semiannual amortization amount? Select the correct answer. $5,004 $2,502 $41,700 O $25,020

On January 1, firm issued $500,000 of 15   year, 6 percent bonds payable for $552,325, yielding an effective rate of 5 percent. Interest is payable on June 30 and December 31 each year. The firm records amortization on each interest date.Bond interest expense for the first six months, using effective interest amortization, is: Select one: A. $14,059 B. $16,587 C. $15,000 D. $13,808

On January 1, firm issued $500,000 of 15   year, 6 percent bonds payable for $552,325, yielding an effective rate of 5 percent. Interest is payable on June 30 and December 31 each year. The firm records amortization on each interest date.Bond interest expense for the first six months, using effective interest amortization, is: Select one: A. $13,808 B. $14,059 C. $16,587 D. $15,000 PreviousSave AnswersNext

Bob Co issued $1,000 of 5%, 5-year bonds, paid semiannually. The bonds were issued at 96. Prepare the entry to record the issuance of the bond and the first payment.

On December 31, 2020, Phil purchased $20,000 of newly issued bonds of Texas Corporation for $16,568. The bonds are dated December 31, 2020. The bonds are 9%, 10-year bonds paying interest semiannually on June 30 and December 31. The bonds are priced to yield 12% compounded semiannually. Read the requirements. Requirement a. What is the amount of the original issue discount? Start by completing the bond amortization table for the first year. (Round all amounts to the nearest dollar.) Amortization of Original Issue Discount Taxpayers Basis for the Bond Year Interest Received Interest Income December 31, 2020 June 30, 2021 December 31, 2021 The amount of the original issue discount is Requirement b. For the first semiannual period, what is the amount of the original issue discount Phil must recognize as ordinary income? (Round the amount to the nearest dollar.) The amount of the original issue discount Phil must recognize as ordinary income for the first semiannual period is Requirement…