Order Now

Question : 138.On January 1, a company issues bonds dated January 1 : 1258331

Accounting

 

 

138.On January 1, a company issues bonds dated January 1 with a par value of $300,000. The bonds mature in 5 years. The contract rate is 9%, and interest is paid semiannually on June 30 and December 31. The market rate is 8% and the bonds are sold for $312,177. The journal entry to record the first interest payment using straight-line amortization is:   

A.Debit Interest Payable $13,500; credit Cash $13,500.00.

 

B.Debit Bond Interest Expense $12,282.30; debit Discount on Bonds Payable $1,217.70; credit Cash $13,500.00.

 

C.Debit Bond Interest Expense $14,717.70; credit Premium on Bonds Payable $1,217.70; credit Cash $13,500.00.

 

D.Debit Bond Interest Expense $14,717.70; credit Discount on Bonds Payable $1,217.70; credit Cash $13,500.00.

 

E.Debit Bond Interest Expense $12,282.30; debit Premium on Bonds Payable $1,217.70; credit Cash $13,500.00.

Cash payment = $300,000 * .09 * ½ = $13,500Premium Amortization = $312,177 – $300,000 = $12,177/10 = $1,217.70Interest Expense = $300,000 * .09 * ½ = $13,500 – $1,217.70 = $12,282.30

 

 

 

139.On January 1, a company issues bonds dated January 1 with a par value of $300,000. The bonds mature in 5 years. The contract rate is 9%, and interest is paid semiannually on June 30 and December 31. The market rate is 8% and the bonds are sold for $312,177. The journal entry to record the first interest payment using the effective interest method of amortization is:   

A.Debit Interest Expense $12,487.08; debit Premium on Bonds Payable $1,012.92; credit Cash $13,500.00.

 

B.Debit Interest Payable $13,500; credit Cash $13,500.00.

 

C.Debit Bond Interest Expense $12,487.08; debit Discount on Bonds Payable $1,012.92; credit Cash $13,500.00.

 

D.Debit Bond Interest Expense $14,717.70; credit Premium on Bonds Payable $1,217.70; credit Cash $13,500.00.

 

E.Debit Bond Interest Expense $12,282.30; debit Premium on Bonds Payable $1,217.70; credit Cash $13,500.00.

Cash payment = $300,000 * .09 * ½ = $13,500Interest Expense = $312,177 * .08 * ½ = $12,487.08Premium Amortization = $13,500 – $12,487.08 = $1,012.92

 

 

 

140.Marwick Corporation issues 8%, 5 year bonds with a par value of $1,000,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 6%. What is the bond’s issue (selling) price, assuming the Present Value of $1 factor for 3% and 10 semi-annual periods is .7441 and the Present Value of an Annuity factor for the same rate and period is 8.5302?   

A.$1,000,000

 

B.$789,244

 

C.$1,341,208

 

D.$1,085,308

 

E.$658,792

Interest Exp. = $1,000,000 par * .08 stated interest rate * ½ = 40,000 (this is an annuity)($1,000,000 * .7441) + (40,000 * 8.5302) = $1,085,308

 

 

 

141.Sharmer Company issues 5%, 5 year bonds with a par value of $1,000,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 6%. What is the bond’s issue (selling) price, assuming the Present Value of $1 factor for 3% and 10 semi-annual periods is .7441 and the Present Value of an Annuity factor for the same rate and period is 8.5302?    

A.$957,355

 

B.$1,000,000

 

C.$1,250,000

 

D.$786,745

 

E.$1,213,255

Interest Exp. = $1,000,000 par * .05 stated interest rate * ½ = 25,000 (this is an annuity) ($1,000,000 * .7441) + (25,000 * 8.5302) = $957,355

 

 

 

142.On January 1, a company issues bonds dated January 1 with a par value of $400,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31. The market rate is 8% and the bonds are sold for $383,793. The journal entry to record the issuance of the bond is:    

A.Debit Cash $400,000; debit Discount on Bonds Payable $16,207; credit Bonds Payable $416,207.

 

B.Debit Cash $383,793; debit Discount on Bonds Payable $16,207; credit Bonds Payable $400,000.

 

C.Debit Bonds Payable $400,000; debit Bond Interest Expense $16,207; credit Cash $416,207.

 

D.Debit Cash $383,793; debit Premium on Bonds Payable $16,207; credit Bonds Payable $400,000.

 

E.Debit Cash $383,793; credit Bonds Payable $383,793.

Discount = $400,000 – $383,793 = $16,207The issued bond is always recorded at par (face) value in the Bonds Payable account, with the difference between par value and issue price recorded as a discount or premium, depending on whether the issue price is greater than par (premium) or less than par (discount).

 

 

 

143.On January 1, a company issues bonds dated January 1 with a par value of $400,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31. The market rate is 8% and the bonds are sold for $383,793. The journal entry to record the first interest payment using straight-line amortization is:   

A.Debit Interest Payable $14,000.00; credit Cash $14,000.00.

 

B.Debit Interest Expense $14,000.00; credit Cash $14,000.00.

 

C.Debit Interest Expense $15,620.70; credit Discount on Bonds Payable $1,620.70; credit Cash $14,000.00.

 

D.Debit Interest Expense $12,379.30; debit Discount on Bonds Payable $1,620.70; credit Cash $14,000.00.

 

E.Debit Interest Expense $15,620.70; credit Premium on Bonds Payable $1,620.70; credit Cash $14,000.00.

Cash payment of interest = $400,000 * .07 * ½ = $14,000Discount Amortization = $400,000 – $383,793 = $16,207/10 = $1,620.70Interest Expense = $14,000 + $1,620.70 = $15,620.70

 

 

 

144.On January 1, a company issues bonds dated January 1 with a par value of $400,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31. The market rate is 8% and the bonds are sold for $383,793. The journal entry to record the first interest payment using the effective interest method of amortization is:   

A.Debit Interest Expense $12,648.28; debit Premium on Bonds Payable $1,351.72; credit Cash $14,000.00.

 

B.Debit Interest Payable $14,000.00; credit Cash $14,000.00.

 

C.Debit Interest Expense $12,648.28; debit Discount on Bonds Payable $1,351.72; credit Cash $14,000.00.

 

D.Debit Interest Expense $15,351.72; credit Discount on Bonds Payable $1,351.72; credit Cash $14,000.00.

 

E.Debit Interest Expense $15,351.72; credit Premium on Bonds Payable $1,351.72; credit Cash $14,000.00.

Interest Expense = $383,793 * .08 * ½ = $15,351.72Cash payment of interest = $400,000 * .07 * ½ = $14,000Discount Amortization = $15,351.72 – $14,000 = $1,351.72The effective interest method determines interest expense by multiplying the carrying value of the bond by the market rate of interest.

 

 

 

145.All of the following statements regarding accounting treatments for liabilities under U.S. GAAP and IFRS are true except:   

A.Accounting for bonds and notes under U.S. GAAP and IFRS is similar.

 

B.Both U.S. GAAP and IFRS require companies to distinguish between operating leases and capital leases.

 

C.The criteria for identifying a lease as a capital lease are more general under IFRS.

 

D.Both U.S. GAAP and IFRS require companies to record costs of retirement benefits as employees work and earn them.

 

E.Use of the fair value option to account for bonds and notes is not acceptable under U.S. GAAP or IFRS.

 

 

 

 

146.On January 1, $300,000 of par value bonds with a carrying value of $310,000 is converted to 50,000 shares of $5 par value common stock. The entry to record the conversion of the bonds includes all of the following entries except:   

A.Debit to Bonds Payable $310,000.

 

B.Debit to Premium on Bonds Payable $10,000.

 

C.Credit to Common Stock $250,000.

 

D.Credit to Paid-In Capital in Excess of Par Value, Common Stock $60,000.

 

E.Debit to Bonds Payable $300,000.

 

 

 

 

147.On January 1, a company issues 8%. 5 year, $300,000 bonds that pay interest semiannually. On the issue date, the annual market rate of interest is 6%. The following information is taken from present value tables: 

Present value of an annuity for 10 periods at 3%8.5302

Present value of an annuity for 10 periods at 4%8.1109

Present value of 1 due in 10 periods at 3%0.7441

Present value of 1 due in 10 periods at 4%0.6756

What is the issue (selling) price of the bond?    

A.$420,000

 

B.$402,362

 

C.$300,010

 

D.$308,107

 

E.$325,592

Market interest rate is used to determine issue price. The 6% annual rate/2 = 3%, so PV factors at 3% should be used.Par value $300,000 * PV of $1 factor 0.7441 = $223,230Interest payment (300,000 * .08 * 1/2) * PV of an Annuity factor 8.5302 = $102,362Bond Issue Price = 223,230 + 102,362 = 325,592

 

 

 

 

 

Continue to order Get a quote
Place your order
(550 words)

Approximate price: $22

July 1, 2023
    

 

Chapter 15 – From the week's chapter reading, we learn from the author's case studies that, despite the alleged importance of scientific advice in the policy-making process, its evident that scientific results are often not used.  Why? The authors proposed a science-policy interface that would be realized by the inclusion of information visualization in the policy analysis process.  That way, the gap between both fields can be addressed based on the current challenges of science-policy interfaces with visualizations. 

Q1: According to Shneiderman and Bederson (2003), information visualization emerged from research in human-computer interaction, computer science, graphics, visual design, psychology, and business.  With this revelation in mind, identify, and discuss the benefits?

 

Chapter 16 – Following the chapter reading, the authors assert that the twentieth century is considered as the century of population explosion and fossil fuels burning, environmental policies and the transition to effective use of renewable energy sources as a priority with a strategic focus on specific countries around the world.  In addition, this move has created several different projects whose main focus is to formulate policies associated with climate change and energy governance.  Many of the policies and projects identified aim to support the energy sources switching between fuels like fossils and nuclear power to renewables like solar, wind, and or water.  Specifically, the chapter provides the foundations of policy implementation, and methods as well investigations of five policy implementation case studies through a comparative analysis. 

Q2: Looking further into the chapter, theoretical grounds of policy implementation, Buse et al., (2012) argue that policy implementation is the execution of a formulated policy – turning theory into practice.  When turning theory into practice, the authors stated that it was common for certain observations.  What are those observations?  Briefly identify, and provide a brief discussion for each observation.  

default image
July 1, 2023
    

 

Chapter 15 – From the week's chapter reading, we learn from the author's case studies that, despite the alleged importance of scientific advice in the policy-making process, its evident that scientific results are often not used.  Why? The authors proposed a science-policy interface that would be realized by the inclusion of information visualization in the policy analysis process.  That way, the gap between both fields can be addressed based on the current challenges of science-policy interfaces with visualizations. 

Q1: According to Shneiderman and Bederson (2003), information visualization emerged from research in human-computer interaction, computer science, graphics, visual design, psychology, and business.  With this revelation in mind, identify, and discuss the benefits?

 

Chapter 16 – Following the chapter reading, the authors assert that the twentieth century is considered as the century of population explosion and fossil fuels burning, environmental policies and the transition to effective use of renewable energy sources as a priority with a strategic focus on specific countries around the world.  In addition, this move has created several different projects whose main focus is to formulate policies associated with climate change and energy governance.  Many of the policies and projects identified aim to support the energy sources switching between fuels like fossils and nuclear power to renewables like solar, wind, and or water.  Specifically, the chapter provides the foundations of policy implementation, and methods as well investigations of five policy implementation case studies through a comparative analysis. 

Q2: Looking further into the chapter, theoretical grounds of policy implementation, Buse et al., (2012) argue that policy implementation is the execution of a formulated policy – turning theory into practice.  When turning theory into practice, the authors stated that it was common for certain observations.  What are those observations?  Briefly identify, and provide a brief discussion for each observation.  

default image
July 1, 2023
    

 

Chapter 15 – From the week's chapter reading, we learn from the author's case studies that, despite the alleged importance of scientific advice in the policy-making process, its evident that scientific results are often not used.  Why? The authors proposed a science-policy interface that would be realized by the inclusion of information visualization in the policy analysis process.  That way, the gap between both fields can be addressed based on the current challenges of science-policy interfaces with visualizations. 

Q1: According to Shneiderman and Bederson (2003), information visualization emerged from research in human-computer interaction, computer science, graphics, visual design, psychology, and business.  With this revelation in mind, identify, and discuss the benefits?

 

Chapter 16 – Following the chapter reading, the authors assert that the twentieth century is considered as the century of population explosion and fossil fuels burning, environmental policies and the transition to effective use of renewable energy sources as a priority with a strategic focus on specific countries around the world.  In addition, this move has created several different projects whose main focus is to formulate policies associated with climate change and energy governance.  Many of the policies and projects identified aim to support the energy sources switching between fuels like fossils and nuclear power to renewables like solar, wind, and or water.  Specifically, the chapter provides the foundations of policy implementation, and methods as well investigations of five policy implementation case studies through a comparative analysis. 

Q2: Looking further into the chapter, theoretical grounds of policy implementation, Buse et al., (2012) argue that policy implementation is the execution of a formulated policy – turning theory into practice.  When turning theory into practice, the authors stated that it was common for certain observations.  What are those observations?  Briefly identify, and provide a brief discussion for each observation.  

default image
Essay (any type)
August 22, 2022
    

They have a magnificent team. These people are always kind and willing to listen to your concerns or issues. Better yet, your assignment is always ready before the time, they usually send you a draft to double-check before they finalize your paper.

 

default image
Customer #32567
Zoology, 8 Pages
Case study
August 22, 2022
    

Completed quickly and followed instructions given. Grammar, spelling, etc. was all good as well. Thank you so much! Will hire in the future.

default image
Customer #30093
Biology (and other Life Sciences), 6 pages
Presentation/PPT
August 22, 2022
    

The work has not been graded but I like the output that was submitted to me. Is it possible for the same prof to do the next assignment I will be submitting? If possible, I will greatly appreciate it.

default image
Customer #37612
Computer science, 8 pages
Journal article
August 22, 2022
    

My third using this writer and absolutely amazing work! Very punctual and very understanding.

default image
Customer #34820
Agriculture, 4 pages
Article
August 22, 2022
    

Outstanding job in writing my paper. I am always thrill to receive a well written paper that follows the instructions and the thorough details put into my paper. The quality of this paper is beyond awesome. Thank you so much.

default image
Customer #17907
Technology, 5 pages
Thesis/Thesis chapter
August 22, 2022
    

I absolutely love this writer! He/she always cranks out a fabulous paper and follows the assignment guidelines/instructions perfectly. Thanks again for always providing such quality work!!!

default image
Customer #32146
Economics, 9 pages
Research paper
August 22, 2022
    

It took some time to achieve the product I was looking for, but we eventually got there. I do feel like a lot of hard work was put into this, and it even exceeded the page requirement. I'm pretty pleased overall. I give my thanks.

default image
Customer #22371
Ecology, 5 pages
Lab Report
August 22, 2022
    

Outstanding work! This writer followed every instruction and my paper came back with an A! I recommend to anyone needing help! Thank you again ❤️

default image
Customer #13712
Nursing, 6 pages
Outline
August 22, 2022
    

Outstanding job in writing my paper. I am always thrill to receive a well written paper that follows the instructions and the thorough details put into my paper. The quality of this paper is beyond awesome. Thank you so much.

default image
Customer #267302
IT, Web, 6 pages
Essay (any type)
August 22, 2022
    

Made 100% on both the outline and the paper. Quick turnaround time and my writer responded within 30 min or less. Any edits my instructor needed, my writer was patient and worked diligently to accomplish the task. Would recommend my writer to anyone!

default image
Customer #14472
International Trade, 8 pages
Essay (any type)
August 5, 2021
    

You are making my life so much easier! I am a single mom that works and goes to school. You guys are helping me with my projects so I can have more free time with my son.

default image
customer #13832
Tourism, 3 pages
Annotated Bibliography
August 5, 2021
    

I was sure it can fit in a single page but the next time I will add one more page because I am impressed with your professionalism and quality. Will use many more times till I graduate.

default image
customer #12008
Management, 7 pages
Essay (any type)
August 5, 2021
    

Simple registration and quality services. I just ordered one paper, and it was good enough to pass the exam. That is what I need the most. Good job.

default image
customer #16257
Communication, 4 pages
Research Proposal
August 5, 2021
    

I couldn’t finish my freaking essay, and I was very desperate. A friend of mine sent me a link, and that is how I found out about you guys. Thank you for professional tips and editing. Now, I understand how to write it properly.

default image
customer #17128
Law, 5 pages
Reflection
August 5, 2021
    

I’m so grateful to you since you managed to complete my term paper in one day! You are definitely the best company ever!

default image
customer #16528
Public Relations, 7 pages
Essay (any type)
August 5, 2021
    

I am sure on your ability to provide any type of paper I will order. I wish I could develop that skill your writers have to be able to have a flow of ideas and excellent sequencing of thoughts in writing.

default image
customer #19552
Medicine, 5 pages
Coursework
August 5, 2021
    

I ordered a thesis paper and was satisfied. All the guys were polite and highly professional, even when I wrote to them several times per day. Thanks for your passion!

default image
customer #20376
Nursing, 6 pages
Discussion Essay
August 5, 2021
    

I turned to the service twice, and my papers always were beyond the expectations. To tell the truth, I was ready to find some grammar errors or something like that. However, everything was neat and tidy.

default image
customer #18529
Marketing, 1 page
August 5, 2021

My friend recommended Doctor My Essay to me. It is convenient! Now we both turn to the service periodically coz wanna save some time and use it more effectively. I know that while I’m developing my startup, an expert is working on paper. Time management in work!

default image
Research Paper
August 5, 2021
    

I write all paper works by myself but have some problems with literacy. Actually, I have enormous problems because English is not my native language. However, with proofreading from Doctor My Essay, I can relax and don’t be ashamed of mistakes.

default image
customer #12924
Business, 7 pages
Argumentative Essay
August 5, 2021
    

Your ability to write concisely is a finding. The paper has a solid argument. It’s clear that the writer understood central claim about the topic. He also presented original ideas to consider.

default image
customer #19304
Management, 3 pages
Coursework
August 5, 2021
    

That paper got the highest grade in my class and the professor thinks I’m the smartest student. Lol.

default image
customer #12387
Accounting, 6 pages
Essay (any type)
August 5, 2021
    

I was convinced that paper writing services are the fiction for naive students. But when it came to my research paper that was to be composed in 72 hours, I had no other options. I made the right choice when I ordered it from you!

default image
customer #12924
Ethics, 4 pages
Business Plan
August 5, 2021
    

I was also satisfied with the service. Usually, I write everything by myself, but this time ( I have no idea how it happens!) I missed the deadline. My writer was very responsible, wrote the essay quickly, and kept the instructions. Nice to know that such experts exist!

default image
customer #15677
Marketing, 10 pages
Annotated Bibliography
August 5, 2021
    

It is really affordable! The prices start from 9$, which is an excellent proposal on the market. Recently I worked with another service that took much more money and provided lower quality papers.

default image
customer #11234
Sociology, 9 pages
Research proposal
August 5, 2021
    

I am absolutely satisfied. I am first timer here. Revision was made quickly, and the author met my expectations. Thanks a lot. Paper is phenomenal.

default image
customer #15327
Economics, 5 pages
Essay (any type)
August 5, 2021
    

Having heard a lot of negative reviews about such services, I was a bit skeptical. However, our cooperation with Doctor My Essay was without pitfalls. I made two comments about the final work, and they re-wrote some parts very promptly. I am satisfied and will turn to them in the future.

default image
customer #17823
Human Resource Management, 2 pages
Research paper
August 5, 2021
    

It was my first experience in online ordering, and I was a bit nervous. However, this was for nothing. I’ve got a high mark!

default image
customer #12372
Public Relations, 3 pages
Dissertation
August 5, 2021
    

I understand that buying essays is a doubtful thing. You don’t put effort, don’t represent your ideas… However, I don’t perceive Doctor My Essay as a standard service. They don’t sell papers. They share high expertise!

default image
customer #12376
Journal article, 20 pages
Coursework
August 5, 2021
    

According to my previous experience, this service is really the best. They support the client and have competitive writers. I give them a perfect score!

default image
customer #19266
Political Science, 6 pages
Admission Essay
August 5, 2021
    

Nice service! It is cool that you can use the calculator on the main page and understand the price policy. For me, it is a huge plus!

default image
customer #11437
Tourism, 1 page
Discussion Essay
August 5, 2021
    

Thanks to God I found this service! If I didn’t send my research to the teacher on time, he would eat me. I tell you! However, with doctor my essay service, I met the deadline, and I am still alive.

default image
customer #12692
Philosophy, 5 pages
Report
August 5, 2021
    

Your service is excellent! Convenient and not expensive. Thanks for that!

default image
customer #10923
Psychology, 4 pages
Essay (any type)
August 5, 2021
    

If you have problems with time management, just like me, you need to cooperate with Doctor My Essay. Once you registered and made the order, you understand how easier it makes your life! Everything is online: ordering, communication… You can control the process everywhere and be sure that an expert will provide a high-level paper.

default image
customer #17823
Business, 8 pages

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more