On March 1, 2020, Quinto Mining Inc. issued a $590,000, 10%, three-year bond. Interest is payable...

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On March 1, 2020, Quinto Mining Inc. issued a $590,000, 10%, three-year bond. Interest is payable semiannually beginning September 1, 2020. Required: Port 1 a. Calculate the bond issue price assuming a market interest rate of 9% on the date of issue. (Do not round intermediate calculations. Round the final answer to nearest whole doller.) b. Using the effective interest method, prepare an amortization schedule. (Do not round intermediate calculations. Round the final answers to nearest whole dollar. Enter all the amounts as positive values.) Period Ending Cash Interest Period Interest Premium Paid Amort. Unamortized Premium Carrying Value Expense Mar 1/20 Sept 1/20 Mar. 1/21 Sept 1/21 Mar 1/22 c. Record the entries for the issuance of the bond on March 1, the adjusting entry to accrue bond interest and related amortization on April 30, 2020, Quinto's year-end, and the payment of interest on September 1, 2020. (Do not round intermediate calculations. Round the final answers to nearest whole doller.) View transaction list Journal entry worksheet < 1 3 > Record the issuance of bond. Note: Enter debes before credits Mar 01, 2020 Record entry General Journal Clear entry Debit Credit View general journal Part 2 a. Calculate the bond issue price assuming a market interest rate of 11.0% on the date of issue. (Do not round intermediate calculations. Round the final answer to nearest whole dollar) b. Using the effective interest method, prepare an amortization schedule. (Do not round intermediate calculations. Round the final answers to nearest whole dollar. Enter all the amounts as positive values.) Period Cash Interest Period Interest Discount Unamortized Ending Paid Amort Discount Carrying Value Expense Mar 1/20 Sept 1/20 Mar 1/21 Sept 1/21 Mar 122 Sept 1/22 Mar 1/23 0 0 0$ 0$ S c. Record the entries for the issuance of the bond on March 1; the adjusting entry to accrue bond interest and related amortization on April 30, 2020, Quinto's year-end; and the payment of interest on September 1, 2020. View transaction list Journal entry worksheet < 1 3 > Record the issuance of bond. Note: Enter debits before credits. Date Debit Mar 01, 2020 Record entry General Journal Clear entry Credit View general journal On March 1, 2020, Quinto Mining Inc. issued a $590,000, 10%, three-year bond. Interest is payable semiannually beginning September 1, 2020. Required: Port 1 a. Calculate the bond issue price assuming a market interest rate of 9% on the date of issue. (Do not round intermediate calculations. Round the final answer to nearest whole doller.) b. Using the effective interest method, prepare an amortization schedule. (Do not round intermediate calculations. Round the final answers to nearest whole dollar. Enter all the amounts as positive values.) Period Ending Cash Interest Period Interest Premium Paid Amort. Unamortized Premium Carrying Value Expense Mar 1/20 Sept 1/20 Mar. 1/21 Sept 1/21 Mar 1/22 c. Record the entries for the issuance of the bond on March 1, the adjusting entry to accrue bond interest and related amortization on April 30, 2020, Quinto's year-end, and the payment of interest on September 1, 2020. (Do not round intermediate calculations. Round the final answers to nearest whole doller.) View transaction list Journal entry worksheet < 1 3 > Record the issuance of bond. Note: Enter debes before credits Mar 01, 2020 Record entry General Journal Clear entry Debit Credit View general journal Part 2 a. Calculate the bond issue price assuming a market interest rate of 11.0% on the date of issue. (Do not round intermediate calculations. Round the final answer to nearest whole dollar) b. Using the effective interest method, prepare an amortization schedule. (Do not round intermediate calculations. Round the final answers to nearest whole dollar. Enter all the amounts as positive values.) Period Cash Interest Period Interest Discount Unamortized Ending Paid Amort Discount Carrying Value Expense Mar 1/20 Sept 1/20 Mar 1/21 Sept 1/21 Mar 122 Sept 1/22 Mar 1/23 0 0 0$ 0$ S c. Record the entries for the issuance of the bond on March 1; the adjusting entry to accrue bond interest and related amortization on April 30, 2020, Quinto's year-end; and the payment of interest on September 1, 2020. View transaction list Journal entry worksheet < 1 3 > Record the issuance of bond. Note: Enter debits before credits. Date Debit Mar 01, 2020 Record entry General Journal Clear entry Credit View general journal

Answer rating: 100% (QA)

Present Value PV PV of Interest PV of Maturity Total Issue pric... View the full answer