K On June 30, 2020, the market interest rate is 5.1%. Enderby Enterprises issues $515,000 of...

Transcribed Image Text:

K On June 30, 2020, the market interest rate is 5.1%. Enderby Enterprises issues $515,000 of 6.1%, 18-year bonds at 113.944. The bonds pay inte amortizes bonds by the effective-interest method. Requirements 1. Prepare a bond amortization table for the first four semi-annual interest periods. 2. Record issuance of the bonds on June 30, 2020, the payment of interest at December 31, 2020, and the semi-annual interest payment on Ju Requirement 1. Prepare a bond amortization table for the first four semi-annual interest periods. (Round your answers to the nearest whole de A B Enderby Enterprises Amortization Table Semi-Annual Interest Date June 30, 2020 Dec. 31, 2020 June 30, 2021 Dec. 31, 2021 Interest Payment (3.05% of Maturity Value) Interest Expense (2.55% of Preceding Bond Carrying Amount) C Premium Amobration B) D E Premium Account Balance (D-C) Bond Carrying Amount ($515,000 + D) June 30, 2022 Requirement 2. Record issuance of the bonds on June 30, 2020, the payment of interest at December 31, 2020, and the semi-annual interest paym credits. Explanations are not required. Round your answers to the nearest whole number.) Start by recording the issuance of the bonds on June 30, 2020. Date June 30, 2020 Accounts Debit Credit K On June 30, 2020, the market interest rate is 5.1%. Enderby Enterprises issues $515,000 of 6.1%, 18-year bonds at 113.944. The bonds pay inte amortizes bonds by the effective-interest method. Requirements 1. Prepare a bond amortization table for the first four semi-annual interest periods. 2. Record issuance of the bonds on June 30, 2020, the payment of interest at December 31, 2020, and the semi-annual interest payment on Ju Requirement 1. Prepare a bond amortization table for the first four semi-annual interest periods. (Round your answers to the nearest whole de A B Enderby Enterprises Amortization Table Semi-Annual Interest Date June 30, 2020 Dec. 31, 2020 June 30, 2021 Dec. 31, 2021 Interest Payment (3.05% of Maturity Value) Interest Expense (2.55% of Preceding Bond Carrying Amount) C Premium Amobration B) D E Premium Account Balance (D-C) Bond Carrying Amount ($515,000 + D) June 30, 2022 Requirement 2. Record issuance of the bonds on June 30, 2020, the payment of interest at December 31, 2020, and the semi-annual interest paym credits. Explanations are not required. Round your answers to the nearest whole number.) Start by recording the issuance of the bonds on June 30, 2020. Date June 30, 2020 Accounts Debit Credit