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acct 212 chapter 14 homework 1

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Question;acct 212 chapter 14 homework 1 rest questionr are in attached file.1;award:0 out of;3.00 points;Problem 14-1A Computing bond price and recording issuance L.O. P1, P2;P3;Stowers;Research issues bonds dated January 1, 2011, that pay interest semiannually;on June 30 and December 31. The bonds have a $32,000 par value and an annual;contract rate of 12%, and they mature in 10 years.;Required;Consider;each of the following three separate situations. (Use Table B.1, Table B.3);1.;The;market rate at the date of issuance is 10%.;(a);Determine;the bonds' issue price on January 1, 2011. (Round;PV Factors" to 4 decimal places, intermediate calculations and;final answer to the nearest dollar amount. Omit the "$" sign in;your response.);(b);Prepare;the journal entry to record their issuance. (Round;PV Factors" to 4 decimal places, intermediate calculations and;final answers to the nearest dollar amount. Omit the "$" sign in;your response.);2.;The;market rate at the date of issuance is 12%.;(a);Determine;the bonds' issue price on January 1, 2011. (Round;PV Factors" to 4 decimal places, intermediate calculations and;final answer to the nearest dollar amount. Omit the "$" sign in;your response.);Issue;price;$ n/r;(b);Prepare;the journal entry to record their issuance. (Round;PV Factors" to 4 decimal places, intermediate calculations and;final answers to the nearest dollar amount. Omit the "$" sign in;your response.);3.;The;market rate at the date of issuance is 14%.;(a);Determine;the bonds' issue price on January 1, 2011. (Round;PV Factors" to 4 decimal places, intermediate calculations and;final answer to the nearest dollar amount. Omit the "$" sign in;your response.);Issue;price;$ n/r;(b);Prepare;the journal entry to record their issuance. (Round;PV Factors" to 4 decimal places, intermediate calculations and;final answers to the nearest dollar amount. Omit the "$" sign in;your response.);rev: 03_02_2012;eBook Links (3);Worksheet;Difficulty: Medium;Learning Objective: 14-P2 Compute and record amortization of bond;discount.;Problem 14-1A Computing bond price and recording issuance L.O. P1, P2;P3;Learning Objective: 14-P1 Prepare entries to record bond issuance and interest;expense.;Learning Objective: 14-P3 Compute and record amortization of bond;premium..;award:1.10 out of;5.00 points;Problem 14-2A Straight-line amortization of bond discount L.O. P1, P2;Heathrow;issues $3,000,000 of 6%, 15-year bonds dated January 1, 2011, that pay;interest semiannually on June 30 and December 31. The bonds are issued at a;price of $2,592,334.;Required;1.;Prepare;the January 1, 2011, journal entry to record the bonds? issuance. (Omit the "$" sign in your response.);2(a);For;each semiannual period, compute the cash payment. (Do not round your intermediate calculations. Omit the;$" sign in your response.);2(b);For;each semiannual period, compute the the straight-line discount amortization. (Round your answer to the nearest dollar amount. Omit the "$" sign in your response.);Amount;of discount amortization;$ n/r;2(c);For;each semiannual period, compute the bond interest expense. (Round your intermediate calculations and final answer to;the nearest dollar amount. Omit the "$" sign in your response.);Bond;interest expense;$ n/r;3.;Determine;the total bond interest expense to be recognized over the bonds' life. (Do not round semi-annual interest rate. Round intermediate;calculations to the nearest dollar. Omit the "$" sign in your;response.);Total;bond interest expense;$ n/r;4.;Prepare;the first two years of an amortization table using the straight-line method. (Round your intermediate calculations and;final answers to the nearest dollar amount. Omit the "$" sign;in your response.);5.;Prepare;the journal entries to record the first two interest payments. (Round your intermediate calculations and;final answers to the nearest dollar amount. Omit the "$" sign;in your response.);3.;award:0 out of;5.00 points;Problem 14-3A Straight-line amortization of bond premium L.O. P1, P3;Heathrow;issues $1,600,000 of 9%, 15-year bonds dated January 1, 2011, that pay;interest semiannually on June 30 and December 31. The bonds are issued at a;price of $1,958,394.;Required;1.;Prepare;the January 1, 2011, journal entry to record the bonds? issuance. (Omit the "$" sign in your response.);Date;General Journal;Debit;Credit;Jan. 1;n/r;n/r;n/r;n/r;2(a);For;each semiannual period, compute the cash payment. (Do not round your intermediate calculations. Omit the;$" sign in your response.);Cash;payment;$ n/r;2(b);For;each semiannual period, compute the the straight-line premium amortization. (Round your final answer to the nearest dollar amount. Omit the "$" sign in your response.);Amount;of premium amortized;$ n/r;2(c);For;each semiannual period, compute the the bond interest expense. (Round your intermediate calculations and final answer to;the nearest dollar amount. Omit the "$" sign in your response.);Bond;interest expense;$ n/r;3.;Determine;the total bond interest expense to be recognized over the bonds' life. (Do not round your intermediate calculations. Omit the;$" sign in your response.);Total;bond interest expense;$ n/r;4.;Prepare;the first two years of an amortization table using the straight-line method. (Round your intermediate calculations and final answers to;the nearest dollar amount. Omit the "$" sign in your response.);5.;Prepare;the journal entries to record the first two interest payments. (Round your intermediate calculations and final answers to;the nearest dollar amount. Omit the "$" sign in your response.);eBook Links (2);Worksheet;Difficulty: Medium;Learning Objective: 14-P3 Compute and record amortization of bond;premium.;Problem 14-3A Straight-line amortization of bond premium L.O. P1, P3;Learning Objective: 14-P1 Prepare entries to record bond issuance and;interest expense.;4.;award:0 out of;5.00 points;Problem 14-5AB Effective interest amortization of bond premium;computing bond price L.O. P1, P3;Saturn;issues 8.5%, five-year bonds dated January 1, 2011, with a $490,000 par;value. The bonds pay interest on June 30 and December 31 and are issued at a;price of $542,250. The annual market rate is 6% on the issue date.;1.;Compute;the total bond interest expense over the bonds? life. (Do not round;intermediate calculations. Omit the "$" sign in your response.);Total;bond interest expense;$ n/r;2.;Prepare;an effective interest amortization table for the bonds? life. (Make;sure that the unamortized premium equals to '0' and the Carrying value equals;to face value of the bond in the last period. Leave no cells blank - be;certain to enter "0" wherever required. Bond interest expense in;the last period should be calculated as Cash interest paid (?) Premium;amortized. Round your answers to the nearest dollar amount. Omit the;$" sign in your response.);Semiannual Interest;Period-End;(A);Cash Interest;Paid;(B);Bond Interest;Expense;(C);Premium;Amortization;(D);Unamortized;Premium;(E);Carrying;Value;1/01/2011;$ n/r;$ n/r;6/30/2011;$ n/r;$ n/r;$ n/r;n/r;n/r;12/31/2011;n/r;n/r;n/r;n/r;n/r;6/30/2012;n/r;n/r;n/r;n/r;n/r;12/31/2012;n/r;n/r;n/r;n/r;n/r;6/30/2013;n/r;n/r;n/r;n/r;n/r;12/31/2013;n/r;n/r;n/r;n/r;n/r;6/30/2014;n/r;n/r;n/r;n/r;n/r;12/31/2014;n/r;n/r;n/r;n/r;n/r;6/30/2015;n/r;n/r;n/r;n/r;n/r;12/31/2015;n/r;n/r;n/r;n/r;n/r;Total;$ n/r;$ n/r;$ n/r;3.;Prepare;the journal entries to record the first two interest payments. (Round;your answers to nearest dollar amount. Omit the "$" sign in your;response.);Date;General Journal;Debit;Credit;June 30, 2011;n/r;n/r;n/r;n/r;Dec. 31, 2011;n/r;n/r;n/r;n/r;4.;Use the;market rate at issuance to compute the present value of the remaining cash;flows for these bonds as of December 31, 2013. (Use Table B.1, Table B.3) (Round;PV Factors" to 4 decimal places, intermediate and;final answers to the nearest dollar amount. Omit the "$" sign;in your response.);Present;value;$ n/r;rev: 08_13_2011;eBook Links (2);Worksheet;Difficulty: Hard;Learning Objective: 14-P3 Compute and record amortization of bond;premium.;Problem 14-5AB Effective interest amortization of bond premium;computing bond price L.O. P1, P3;Learning Objective: 14-P1 Prepare entries to record bond issuance and;interest expense.;Problem 14-6A Straight-line amortization of bond discount L.O. P1, P2;[The following information applies to;the questions displayed below.];Patton;issues $590,000 of 7.5%, four-year bonds dated January 1, 2011, that pay;interest semiannually on June 30 and December 31. They are issued at $542,310;and their market rate is 10% at the issue date.;Section Break;Difficulty: Hard;Learning Objective: 14-P2 Compute and record amortization of bond;discount.;Problem 14-6A Straight-line amortization of bond discount L.O. P1, P2;Learning Objective: 14-P1 Prepare entries to record bond issuance and;interest expense.

 

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