Q2. Maritime Industries Ltd. Had the following transactions between 2020 2030: 2020 Jan. 1 Issued...

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Q2. Maritime Industries Ltd. Had the following transactions between 2020 – 2030: 2020 Jan. 1 Issued $600,000 of 8%, 10-year bonds at 105. July 1 Paid semi-annual interest and amortized bonds by the straight-line method on the 8% bonds payable. Dec. 31 Accrued semi-annual interest expense and amortized bonds by the straight-line method on the 8% bonds payable. 2021 Jan. 1 Paid semi-annual interest. 2030 Jan. 1 Paid the 8% bonds at maturity. Required: Journalize the following transactions of Maritime Industries Ltd. V At December 31, 2020, after all year-end adjustments, determine the carrying amount of Maritime's bonds payable, net. Q2. Maritime Industries Ltd. Had the following transactions between 2020 – 2030: 2020 Jan. 1 Issued $600,000 of 8%, 10-year bonds at 105. July 1 Paid semi-annual interest and amortized bonds by the straight-line method on the 8% bonds payable. Dec. 31 Accrued semi-annual interest expense and amortized bonds by the straight-line method on the 8% bonds payable. 2021 Jan. 1 Paid semi-annual interest. 2030 Jan. 1 Paid the 8% bonds at maturity. Required: Journalize the following transactions of Maritime Industries Ltd. V At December 31, 2020, after all year-end adjustments, determine the carrying amount of Maritime's bonds payable, net.

Answer rating: 100% (QA)

Working notes Bond face value Bond issue price Premium on issue of bonds 600000 630000 600000105 300... View the full answer