Question: b) A company ABC Itd issues debenture having face value of $5000. It is issued at par value. Interest to be paid on the

b) A company ABC Itd issues debenture having face value of $5000.

b) A company ABC Itd issues debenture having face value of $5000. It is issued at par value. Interest to be paid on the debenture is 6%. The debenture is issued on 1st January 2019 and it matures on 31st December 2019. What will be the double entry for the issued debenture? (4 marks)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

Question 2 A company ABC itd issues debenture having face value of $5000. It is issued at par value. Interest to be paid on the debenture is 6%. The debenture is issued on 1 January 2019 and it...

Q:

17-19 and 23 ANSWERS FOR 17-19 AND 23 !!! 17,28,19 and 23 carry coupon rates of Connection Example 7-3 (page 195) shave 10 yearst $1.000 Approximately what the follow a. $770 b. $1,150 c. $1,000 hey...

Q:

1. Eleven years ago, a company issued a 15 -year bond with a $1,000 face value and a 5 percent coupon rate of interest (paid semiannually). If investors require a retum equal to 7 percent to invest...

Q:

Prepare a statement of cash flows using the indirect method for Venice Company for the year ended December 31, 2017. Additional data for the year ended December 31, 2017 are as follows: A. Fully...

Q:

Prepare a statement of cash flows using the indirect method for Venice Company for the year ended December 31, 2017. Additional data for the year ended December 31, 2017 are as follows: A. Fully...

Q:

1 Not yet answered Points out of 4.00 Flag question Rodeo Company issues $1,000,000 face value, 8%, 5-year bond on January 1, 2021. Interest is paid semiannually each June 30 and December 31. The...

Q:

Need to complete 10 homework but now i need 5 homework then after some time 5 homework more. Here it is attachment. Chapter 5 HW Questions [ALL OF THESE MUST BE DONE IN EXCEL] 1. Future value: Chuck...

Q:

Please see attached. Please show your work. Thanks Please Show Your Work Accounting for Bonds Sold at a Discount The Biltmore National Bank raised capital through the sale of $100 million face value...

Q:

Please see attached. Please show your work. Thanks Please Show Your Work Accounting for Bonds Sold at a Discount The Biltmore National Bank raised capital through the sale of $100 million face value...

Q:

Please see attached. Please show your work. Thanks Please Show Your Work Accounting for Bonds Sold at a Discount The Biltmore National Bank raised capital through the sale of $100 million face value...

Q:

Suppose a 10-year zero-coupon bond with a face value of $100 trades at $69.20205. a. What is the yield to maturity and modified duration of the zero-coupon bond? b. Calculate the approximate bond...

Q:

A 35.0-V battery with negligible internal resistance, a 50.0- resistor, and a 1.25-mH inductor with negligible resistance are all connected in series with an open switch. The switch is suddenly...

Q:

Tyler is a member of a cohesive team and has bonded emotionally with the other members. He feels that they have the same outlook on how to reach their group goa trust in the team. Multiple Choice...

Q:

The force constant of a massless spring is 2 5 . 0 N / m . A mass of 0 . 4 5 kg is oscillating in simple harmonic motion at the end of the spring

Q:

Describe the graded distribution option available in connection with pension and annuity distributions.What are this options advantages and disadvantages?

Q:

Describe the minimumdistribution option offered by some insurers. What is the purpose of this option?

Q:

Identify the three of retirement funding sources. In your opinion, how important and how dependable (certain) is each?