User Account

All Pages

Make a journal entry to record the amortization of discount

Assignment Help Financial Accounting
Reference no: EM132592213

On July 1, 2009 PT Kencana Sakti purchased 100 18% of PT Maju Jaya bonds, with a nominal value of Rp. 100,000 per sheet. For this investment, PT Kencana Sakti paid cash Rp. 9,925,000, - not including current interest. The bonds were issued by PT. Maju Jaya on March 1, 2009 and will be due on September 1, 2013. Interest is received semi-annually, which is every March 1 and September 1. Due to the need for fresh funds in the form of cash PT. Kencana Sakti sold back 50 investment bonds of PT Maju Jaya bonds on December 1, 2012. In the resale of these bonds, PT. Kencana Sakti received cash of Rp. 3,250,000, - not including current interest. The method used to amortize the bond discount / premium is the straight-line method and is recorded together with the interest payment date.

Requested:

Question a) Make a journal entry to record the purchase of current bonds and interest on July 1, 2009

Question b) Make a journal entry to record the interest received and amortization of discount / premium bonds during 2009 and 2010

Question c) Make journal entries when selling investment bonds

Question d) Make a journal entry when the bond is due

Reference no: EM132592213

Questions Cloud

What is the spacing of the grating in lines : During the last transit of Venus on June 5 2012, Ms Nardella wanted to look at the Sun. After a failed attempt at making a pinhole camera
How to make a classified balance sheet : Make a classified balance sheet. Thedata were taken from the Adjusted Trial Balance columns of the end-of-period spreadsheet for April 30
What is the energy of the emitted photon : A hydrogen atom initially in the n = 2 level emits a photon and ends up in the ground state.
What is the frequency of the photon : A hydrogen atom has its electron in the n = 3 state.
Make a journal entry to record the amortization of discount : Make a journal entry when the bond is due.Make a journal entry to record the interest received and amortization of discount / premium bonds during 2009 and 2010
Find the de broglie wavelength of the electron : The radius of the electron's orbit in the Bohr model is 1.905 nm. Find the de Broglie wavelength of the electron under these circumstances.
Calculating the de broglie wavelength : If a proton were traveling the same speed as electrons in a TV picture tube (about 7.0 107 m/s), what would its de Broglie wavelength be?
What is the de broglie wavelength of the electrons : In a typical electron microscope, the momentum of each electron is about 1.3 10-22 kg-m/s. What is the de Broglie wavelength of the electrons?
Compute the frequency of such a photon : Gamma rays (?-rays) are high-energy photons. In a certain nuclear reaction, a ?-ray of energy 0.788 MeV (million electronvolts) is produced

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd