On March 1, 2019, Global School issued a 10-year, 8%, OMR 100,893 face value debenture bonds...

 

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On March 1, 2019, Global School issued a 10-year, 8%, OMR 100,893 face value debenture bonds at 97 (3% below par). Interest is payable cach year on March 1 and September 1. Global school's year-end is December 31 and it follows IFRS. a. What is type of bond (0.5 mark) b. Prepare the necessary journal entries for the year 2019 (2 marks) c. Prepare interest account and discount on bonds payable account (1 mark) d. Calculate the carrying value of Bonds payable as on 31/12/2019 and 2022 (1 mark) On March 1, 2019, Global School issued a 10-year, 8%, OMR 100,893 face value debenture bonds at 97 (3% below par). Interest is payable cach year on March 1 and September 1. Global school's year-end is December 31 and it follows IFRS. a. What is type of bond (0.5 mark) b. Prepare the necessary journal entries for the year 2019 (2 marks) c. Prepare interest account and discount on bonds payable account (1 mark) d. Calculate the carrying value of Bonds payable as on 31/12/2019 and 2022 (1 mark)

Answer rating: 100% (QA)

aA Bond is a fixed income instrument that represents a loan made by an investor to a borrower In oth... View the full answer