On January 1, Shelton Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
On January 1, Shelton Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The bonds pay interest semiannually. The market rate of interest is 9,5% and the bond selling price was $2,143,712. The bond issuance should be recorded as: Multiple Choice Debit Cash $2,143,712, debit Discount on Bonds Payable $156,288; credit Bonds Payable $2,300,000. Debit Cash $2,300,000; credit Bonds Payable $2,143,712, credit Discount on Bonds Payable $156,288 Debit Cash $2,143,712; debit Interest Expense $156,288, credit Bonds Payable $2,300,000 Debit Cash $2.343,712; credit Bonds Payable $2,143,712 Debit Cash $2,300,000,credit Bonds Payable $2,300,000. On January 1, Shelton Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The bonds pay interest semiannually. The market rate of interest is 9,5% and the bond selling price was $2,143,712. The bond issuance should be recorded as: Multiple Choice Debit Cash $2,143,712, debit Discount on Bonds Payable $156,288; credit Bonds Payable $2,300,000. Debit Cash $2,300,000; credit Bonds Payable $2,143,712, credit Discount on Bonds Payable $156,288 Debit Cash $2,143,712; debit Interest Expense $156,288, credit Bonds Payable $2,300,000 Debit Cash $2.343,712; credit Bonds Payable $2,143,712 Debit Cash $2,300,000,credit Bonds Payable $2,300,000. On January 1, Shelton Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The bonds pay interest semiannually. The market rate of interest is 9,5% and the bond selling price was $2,143,712. The bond issuance should be recorded as: Multiple Choice Debit Cash $2,143,712, debit Discount on Bonds Payable $156,288; credit Bonds Payable $2,300,000. Debit Cash $2,300,000; credit Bonds Payable $2,143,712, credit Discount on Bonds Payable $156,288 Debit Cash $2,143,712; debit Interest Expense $156,288, credit Bonds Payable $2,300,000 Debit Cash $2.343,712; credit Bonds Payable $2,143,712 Debit Cash $2,300,000,credit Bonds Payable $2,300,000. On January 1, Shelton Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The bonds pay interest semiannually. The market rate of interest is 9,5% and the bond selling price was $2,143,712. The bond issuance should be recorded as: Multiple Choice Debit Cash $2,143,712, debit Discount on Bonds Payable $156,288; credit Bonds Payable $2,300,000. Debit Cash $2,300,000; credit Bonds Payable $2,143,712, credit Discount on Bonds Payable $156,288 Debit Cash $2,143,712; debit Interest Expense $156,288, credit Bonds Payable $2,300,000 Debit Cash $2.343,712; credit Bonds Payable $2,143,712 Debit Cash $2,300,000,credit Bonds Payable $2,300,000.
Expert Answer:
Answer rating: 100% (QA)
The correct answer is Bonds Payable 2300000 Discount on Bonds Payable 156288 Cash 2143... View the full answer
Related Book For
Intermediate accounting
ISBN: 978-0077647094
7th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date:
Students also viewed these accounting questions
-
On January 1, a company issued and sold a $398,000, 6%, 10-year bond payable, and received proceeds of $393,000. Interest is payable each June 30 and December 31. The company uses the straight-line...
-
Sedona Company set the following standard costs for one unit of its product for 2015. Direct material (20 Ibs. @ $2.50 per Ib.) . . . . . . . . . . . . . . . . . . . . . . . $ 50 Direct labor (10...
-
A sharpshooter fires a rifle while standing with the butt of the gun against his shoulder. If the forward momentum of a bullet is the same as the backward momentum of the gun, why isnt it as...
-
Define control. When does control exist in accordance with IAS 27?
-
In July 2008, Brian, Dale, and Sandra Allen signed a contract with East Resources, Inc., concerning 148 acres of the Allens property. East wanted to develop and exploit the oil and gas resources...
-
Nelson Company, organized in 2014, has the following transactions related to intangible assets . Instructions Prepare the necessary entries to record these intangibles. All costs incurred were for...
-
1. Satisfaction A recent Gallup Poll asked a random 206 sample of 1025 adults, "In general, are you satisfied or dissatisfied with the way things are going in the United States at this time?" In all,...
-
Chris and Stefani Watanabe live with their two boys at 1400 Victoria Lane, Riverside, CA 92501. Chris is an accountant who has his own accounting practice. Stefani is an elementary school teacher....
-
Set up a fieldwork notebook or file with sections for: Condensed accounts Expanded accounts A journal Analysis and interpretation Conduct a period of participant observation and record your...
-
Funfun, a traditional managed fund, owns some Australian government bonds. Funfun accepts to lend its government bonds to BoboBank, an investment bank, for a 15 day loan. BoboBank puts a sale order...
-
Year Beginning Period Value Total Interest End Period Value 1 $ 5,000 A $ 5,400 2 $ 5,400 $ 832.00 B 3 C D E Refer to the table representing Feng's bank account. If the $5,000 was deposited into her...
-
Answer the following openended questions: 1.) Scarcity and effciency are not included as part of the foundations of economics, do you think that they should be included or not - support the answer....
-
Suppose there are 2,613 people in the labor force. 265 workers are employed full time but were unemployed last month. Additionally, 91 workers had jobs last month but were laid off and have not found...
-
Using your own words not from the Internet, explain the main ideas of the currents of postclassical economic thought (marginalism, its main representatives) and describe how these ideas help you...
-
Describe a situation (one each) in your life where you made decisions: a. Under certainty b. Under uncertainty c. Under risk d. What criteria (optimistic, pessimistic, Wurwicz, Laplace, Minimax...
-
What exactly is a prima facie duty? How does an ethic of prima facie duties differ from monistic and absolutist ethical theories?
-
On July 15, 2013, the Nixon Car Company purchased 1,000 tires from the Harwell Company for $50 each. The terms of the sale were 2/10, n/30. Nixon uses a periodic inventory system and the gross method...
-
McMinville Corporation manufactures paper products. In 2009, the company purchased several large tracts of timber for $22 million with the intention of harvesting the timber rather than buying this...
-
In 2013, the Barton and Barton Company changed its method of valuing inventory from the FIFO method to the average cost method. At December 31, 2012, B & Bs inventories were $32 million (FIFO). B &...
-
This question is an extension of Exercise 10.22. Consider the data file \(m r o z\) on working wives and the model \(\ln (W A G E)=\beta_{1}+\beta_{2} E D U C+\beta_{3} E X P E R+e\). Use the 428...
-
Consider the data file \(m r o z\) on working wives. Use the 428 observations on married women who participate in the labor force. In this exercise, we examine the effectiveness of alternative...
-
To examine the quantity theory of money, Brumm (2005) ["Money Growth, Output Growth, and Inflation: A Reexamination of the Modern Quantity Theory's Linchpin Prediction," Southern Economic Journal,...
Study smarter with the SolutionInn App