Business, 02.06.2022 14:00 jonesm35

HW2: ABC Co. acquired the $100,000, 6% bonds on 2001/12/31. Market price of the bonds: $102,723 (including brokerage fee of $153). Effective interest rate is 5%. Bond interests are payable on 12/31. ABC attempts to collect the cash flows and sell. It prepares the following bond amortization schedule. ABC sold the bonds on 2004/9/30. Prepare related journal entries for each period. Periods Cash Interest Revenue Premium Amortization Carrying Value
2001/12/31 102,723
2002/12/31 6,000 5,136 864 101,859
2003/12/31 6,000 5,093 907 100,952
2004/12/31 6,000 5,048 952 100,000

The fair market value of the bonds are as follows:
Periods Fair Market Value
2002/12/31 104,200
2003/12/31 103,000
2004/9/30 105,500

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 16:00

What impact might an economic downturn have on a borrower’s fixed-rate mortgage? a. it might cause a borrower’s payments to go up. b. it might cause a borrower’s payments to go down. c. it has no impact because a fixed-rate mortgage cannot change. d. it has no impact because the economy does not affect interest rates.

Answers: 1

Answer

Business, 22.06.2019 16:50

In terms of the "great wheel of science", statistics are central to the research process (a) only between the hypothesis phase and the observation phase (b) only between the observation phase and the empirical generalization phase (c) only between the theory phase and the hypothesis phase (d) only between the empirical generalization phase and the theory phase

Answers: 1

Answer

Business, 22.06.2019 18:30

Hilary works at klothes kloset. she quickly the customers, and her cash drawer is always correct at the end of her shift. however, she never tries to "upsell" the customers (for example, by asking if they would like to purchase earrings to go with the shirt they chose or by suggesting a purse that matches the shoes they are buying). give hilary some constructive feedback on her performance.

Answers: 3

Answer

Business, 22.06.2019 22:40

Crowding out is a phenomenon focused upon most by the macroeconomists of whereby a government deficit interest rates, which in turn private investment spending. this group also believed that fiscal policy is the only thing that can lower natural unemployment. is just as effective in countering recessions as monetary policy. can be used most of the time, but monetary policy becomes a better option when velocity is fluctuating. should be used only if the central bank follows a monetary policy rule. faces problematic lags in propagating changes throughout the economy.

Answers: 3

Answer

You know the right answer?

HW2: ABC Co. acquired the $100,000, 6% bonds on 2001/12/31. Market price of the bonds: $102,723 (inc...

Questions