The December 31, 2021 balance sheet of Blossom Co. included the following items: 7.5% bonds payable...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The December 31, 2021 balance sheet of Blossom Co. included the following items: 7.5% bonds payable due December 31, 2029 $3,660,000 Unamortized discount on bonds payable 146,400 The bonds were issued on December 31, 2019 at 95, with interest payable on June 30 and December 31. (Use straight-line amortization.) On April 1, 2020, Wolfe retired $732,000 of these bonds at 101 plus accrued interest. Prepare journal entries to record the above retirement. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Apr. 1 Interest Expense Cash Discount on Bonds Payable (To record interest and discount on bonds) Apr. 1 Bonds Payable Loss on Redemption of Bonds Discount on Bonds Payable Cash (To record entry for retirement of bonds) The December 31, 2021 balance sheet of Blossom Co. included the following items: 7.5% bonds payable due December 31, 2029 $3,660,000 Unamortized discount on bonds payable 146,400 The bonds were issued on December 31, 2019 at 95, with interest payable on June 30 and December 31. (Use straight-line amortization.) On April 1, 2020, Wolfe retired $732,000 of these bonds at 101 plus accrued interest. Prepare journal entries to record the above retirement. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Apr. 1 Interest Expense Cash Discount on Bonds Payable (To record interest and discount on bonds) Apr. 1 Bonds Payable Loss on Redemption of Bonds Discount on Bonds Payable Cash (To record entry for retirement of bonds)
Expert Answer:
Answer rating: 100% (QA)
Working note 732000366000020 or 15 Time periodDec 2021Dec 2029 8 yearsfor one yearit will be ... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-1260481952
10th edition
Authors: J. David Spiceland, James Sepe , Mark Nelson, Wayne Thomas
Posted Date:
Students also viewed these accounting questions
-
Prepare journal entries to record these transactions: (a) Benton Company retires its delivery equipment, which cost $41,000. Accumulated depreciation is also $41,000 on this delivery equipment. No...
-
Prepare journal entries to record the following transactions in the appropriate funds of a nongovernmental not-for-profit university: 1. Tuition and fees assessed total $6,000,000. Eighty percent is...
-
Prepare journal entries to record these transactions: (a) Blaska Company retires its delivery equipment, which cost $41,000. Accumulated depreciation is also $41,000 on this delivery equipment. No...
-
For the standard deductions, there are specified contribution tables to be followed as discussed in the previous modules. More examples: 1. Compute for Tita Pau's monthly, semi-monthly, weekly and...
-
How does a price ceiling undermine the rationing function of market-determined prices? How could rationing coupons insure that consumers with the highest values get the limited amount of a good...
-
Suppose the yield on a 10-year T-bond is currently 5.05% and that on a 10-year Treasury Inflation Protected Security (TIPS) is 1.30%. Suppose further that the MRP on a 10-year T-bond is 0.90%, that...
-
What three measures can be used to analyze short-term financial strength?
-
Analytical review can be an extremely powerful tool in identifying potential problem areas in an audit. Analytical review can consist of trend and ratio analysis and can be performed by comparisons...
-
1.3 "Certain life experiences can have more profound effects on our choice than others" (Byars, 2018, 20). Critique how these experiences influence our ethical decision-making
-
In the model displayed in the Exhibit above, which predictor variables are most likely to be chosen by a Stepwise regression approach for best model fit. You may use JMP Stepwise Regression operation...
-
Discuss the advantages and disadvantages of a negotiated transfer pricing approach. Explain.
-
Find the amount in the account for the given principal, interest rate, time, and compounding period. P=$1,100,r=2.1%,t=7 years; compounded continuously.
-
Twist Corporation has a current accounts receivable balance of $387,615. Credit sales for the year just ended were $2,937,600. a. What is the receivables turnover? Receivables turnover b. What is the...
-
Performance evaluation allows us to assess the performance of fund managers going beyond historical returns. In particular, we recognize that risk is an important factor when assessing the...
-
Suppose that a U.S. state decides to build some new schools in 2025. It does not have enough money to build a new school in every county, so only some counties receive a new school. The following...
-
How do you calculate PV of Cash Flows and PV of Terminal Year? (CS Millions, except per share amounts) WACC PV of Cash Flows PV of Terminal Year Enterprise Value Less Net Debt (12/31/18) Equity...
-
Assuming per group sample size of 20 and a significance level of .05, calculate the power of the equal variances two-sample t-test for the following: (a) Group means of 5 and 10, a common standard...
-
Use this circle graph to answer following Exercises. 1. What fraction of areas maintained by the National Park Service are designated as National Recreation Areas? 2. What fraction of areas...
-
The Jennings Group reacquired 2 million of its shares at $70 per share as treasury stock. Last year, for the first time, Jennings sold 1 million treasury shares at $71 per share. By what amount will...
-
At the beginning of 2021, VHF Industries acquired a machine with a fair value of $6,074,700 by signing a fouryear lease. The lease is payable in four annual payments of $2 million at the end of each...
-
Wilson Foods Corporation leased a commercial food processor on September 30, 2021. The five-year finance lease agreement calls for Wilson to make quarterly lease payments of $195,774, payable each...
-
The following production information about quality costs has been gathered for June: Using these data, calculate the following: a. Total cost to rework b. Profit lost from not reworking all defective...
-
Fuel economy leaders for the category of small sport utility vehicles include the Hyundai all-electric vehicle, Kona Electric, at 120 miles per gallon of gasoline equivalent (MPGe) and the Ford...
-
Go to the Web site for the Malcolm Baldrige National Quality Award and find the questionnaire titled "Are We Making Progress?" a. Download the questionnaire and answer the questions relative to your...
Study smarter with the SolutionInn App