On January 1, Swifty Corporation issued $5100000, 11% bonds for $5431500. The market rate of interest for these bonds is 10%. Interest is payable annually on December 31. Swifty uses the effective-interest method of amortizing bond premium. At the end of the first year, Swifty should report unamortized bond premium of:     $280500   $291650   $313650   $314910

On July 1, 2020, Center Company issued for $598,964, 10%, 20-year bonds with a face value of $500,000. Interest is paid semiannually on December 31 and June 30. The bonds were issued to yield 8%. Center uses the effective interest method to amortize any bond discount or premium. What is the carrying amount of the bonds on Center's December 31, 2021, balance sheet? Select one: о a. $597,922 O b. $594,802 c. $595,713 O d. $596,839 e. $591,542

AQO Company issued P5,000,000, 12% bonds, on July 1, 2014 at 96. The bonds will mature on July 1, 2024.Interest is paid semi-annually on January 1 and July 1. AQO uses the straight-line method to amortize bond discountor premium. Its annual accounting period ends on December 31. What is the carrying amount of the bonds payable onDecember 31, 2019?a. P4,910,000 c. P4,900,000b. P4,945,000 d. P4,890,000

On January 1, 2022 Company K issued $1,000,000, 5% bonds for $855,000. The market rate of interest for these bonds is 7%. Interest is payable annually on December 31. If Company K uses the effective-interest method of amortizing bond discount, what would be the remaining unamortized bond discount at December 31, 2022?   A. $135,150 B. $235,000 C. $238,050 D. $134,500

On January 1, 2021, Lambda, Inc. issued ten-year bonds with a face value of $1,000,000 and an annual stated interest rate of 8%. Interest payments are made semi-annually on June 30th and December 31st. The bonds were issued for $875,378, when the market rate of interest was 10%. What amount of interest expense will Lambda record for 2021? Multiple Choice $43,957 $92,462 $80,000 $87,726

Subject:

On June 30, 2021, the market interest rate is 5%. Champs Corporation issues $600,000 of 10%, 30-year bonds payable. The bonds pay interest on June 30 and December 31. The company amortizes bond premium using the effective-interest method. Read the requirements. Requirement 1. Use the PV function in Excel to calculate the issue price of the bonds. (Round your answer to the nearest whole dollar.) The issue price of the bonds is Requirements 1. 2. 3. Use the PV function in Excel to calculate the issue price of the bonds. Prepare a bond amortization table for the first four semiannual interest periods. Record the issuance of bonds payable on June 30, 2021; the payment of interest on December 31, 2021; and the payment of interest on June 30, 2022. Print Done X

On January 1, Martinez Inc. issued P 4,000,000, 11% bonds for P 4,260,000. The market rate of interest for these bonds is 10%. Interest is payable annually on December 31. Martinez uses the effective-interest method of amortizing bond premium. At the end of the second year, Martinez should report unamortized bond premium of a. P 246,840b. P 246,000c. P 231,400d. P 230,600

Ellis Company issues 6.5%, five-year bonds dated January 1, 2021, with a $250,000 par value. The bonds pay interest on June 30 and December 31 and are issued at a price of $255,333. The annual market rate is 6% on the issue date. Required: 1. Compute the total bond interest expense over the bonds' life. 2. Prepare an effective interest amortization table for the bonds' life. 3. Prepare the journal entries to record the first two interest payments.

On January 1, 2021, QuantumQuarry Co. issued a 5-year bond with a face value of $500,000. The bond pays interest semi-annually on July 1 and January 1. At the time of issuance, the market rate was 8% for similar bonds. Quantum Quarry's fiscal year ends on December 31, and it uses the effective-interest method to amortize bond discount or premium. Related to this bond, Quantum Quarry's records show the following on December 31, 2021. Bond Payable, 10%, carrying amount Interest Payable $533,664 25,000 3. On January 1, 2023, immediately after paying interest to bondholders QuantumQuarry redeemed 20% of the outstanding bond at 102. Show how the presentation of this transaction would be reported on: a. Statement of cash flows b. Income statement c. Balance Sheet