Omnicity Corporation had a $1,250,000, 7% bond available for issue on April 1. Interest is to be paid on the last day of each month. On April 14 and 25, bonds with a face value of $890,000 and $360,000, respectively, were issued at par. Record the entries for April 14, 25, and 30.
Answer to relevant QuestionsOn October 1, 2014, Eacom Timber Inc. has available for issue $840,000 bonds due in four years. Interest at the rate of 4% is to be paid quarterly. Calculate the issue price if the market interest rate is:a.5%b.4%c.3%On November 1, 2014, Yardley Inc. issued a $740,000, 5%, two-year bond. Interest is to be paid semi-annually each May 1 and November 1.Requireda. Calculate the issue price of the bond assuming a market interest rate of 6% on ...Refer to the amortization schedule prepared in Exercise 15-16. Assume a November 30 year-end.RequiredPart 1Record the following entries:a. Issuance of the bonds on October 1, 2014,b. Adjusting entry to accrue bond interest ...On December 31, 2014, KEC Environmental Corp. borrowed $100,000 by signing a four-year, 5% installment note. The note requires four equal payments of accrued interest and principal on December 31 of each year from 2015 ...Cadington Inc. issued 8.5% bonds with a par value of $450,000 and a five-year life on January 1, 2014, for $459,125. The bonds pay interest on June 30 and December 31. The market interest rate was 8% on the original issue ...
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