Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

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Answer 1

Question

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

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QUESTION 10 A $545,000 bond issue on which there is an unamortized discount of $44.000 is redeemed ior $474,000. Journalize the redemption of the bonds using the straight-line method and the chart of accounts below. Gain on Redemption of Bonds Interest Expense Interest Payable Interest Revenue Bonds Payable Cash Discount on Bonds Payable Loss on Redemption of Bonds Premiun on Bonds Payable Enter your answers into the table below. Key the account names carefully (exactly as shown above) and follow formatting instructions below. DO NOT USE A DECIMAL WITH ZEROES FOR WHOLE DOLLAR AMOUNTS AND USE COMMAS APPROPRIATELY. WHEN THE DEBIT/CREDIT DOES NOT REQUIRE AN ENTRY, LEAVE IT BLANK. Account Debit Credit THIS QUESTION WILL ALSO BE CHECKED MANUALLY (to make adjustments for typos). Click Save and Submit to saue and submit Clil Saue 47l aacars to na

Question 12 Gulf Company issued bonds with a par value of $500,000 for cash of $530,000. What is the account's name and type representing the difference between par value and issue price? OA A bond premium; a contra asset account O B. A bond discount; a contra equity account. OCA bond premium; an adjunct account. O D. A bond discount; a contra liability account.

If the bonds payable account has a balance of $900,000 and the discount on bonds payable account has a balance of $72,000, what is the carrying amount of bonds? A. $828,000 B. $900,000 C. $972,000 D. $580,000

Answer 2

Question

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

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Answer 3

Question

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

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Answer 4

Question

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

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Answer 5

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

Answer 6

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

Answer 7

Chapter 7, Problem 17E

a.

To determine

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

Answer 8

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

Answer 9

b.

To determine

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

Answer 10

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

Answer 11

c.

To determine

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

Answer 12

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

Answer 13

d.

To determine

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

Answer 14

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Answer 16

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Answer 17

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Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

Compute the cash proceeds from bond issues for Incorporation P issued $400,000 of 10 year, 8 percent bonds at 103. Indicate whether the bonds sold at a premium or discount.

Compute the cash proceeds from bond issues for Incorporation A issued $200,000 of 5 year, 12 percent bonds at 97.5. Indicate whether the bonds sold at a premium or discount.

Compute the cash proceeds from bond issues for Company C issued $100,000 of 5 year, 6 percent bonds at 102.5. Indicate whether the bonds sold at a premium or discount.

Compute the cash proceeds from bond issues for Incorporation G issued $120,000 of 4 year, 8 percent bonds at 96. Indicate whether the bonds sold at a premium or discount.

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