On the first day of the fiscal year, a company issues a $3,000,000, 11%, five-year bond that pays semiannual interest of $165,000 ($3,000,000 × 11% × ½), receiving cash of $2,889,599. Journalize the bond issuance.
Answer to relevant QuestionsOn the first day of the fiscal year, a company issues a $4,000,000, 6%, five-year bond that pays semiannual interest of $120,000 ($4,000,000 × 6% × ½), receiving cash of $4,175,041.Journalize the bond issuance.A $500,000 bond issue on which there is an unamortized premium of $67,000 is redeemed for $490,000. Journalize the redemption of the bonds.Kohl's Corporation's 7.25% bonds due in 2029 were reported as selling for 115.948. Were the bonds selling at a premium or at a discount? Why is Kohl's able to sell its bonds at this price?On January 1, 2014, Parker Company obtained a $125,000, four-year, 6% installment note from Clark Bank. The note requires annual payments of $36,074, beginning on December 31, 2014.a. Prepare an amortization table for this ...Pinder Co. produces and sells high-quality video equipment. To finance its operations, Pinder Co. issued $25,000,000 of five-year, 7% bonds, with interest payable semiannually, at a market (effective) interest rate of 9%. ...
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