Reference no: EM132891643

Questions -

Q1. Bonds with a face value of $425,000 were issued at 95. The entry to record the issuance will include a debit to the Discount on Bonds Payable account for?

Q2. Bonds with a face value of $500,000 were issued at 98. The entry to record the issuance will include a debit to the Cash account for?

Q3. A bond sinking fund investment is started on January 5, 20X1, by transferring $19,000 in cash to the fund. The company intends to accumulate $19,000 each year in the fund. This $19,000 is invested and earns $2,900 during 20X1. On January 5, 20X2, the amount of cash transferred to the sinking fund investment will be?

Q4. Bonds with a face value of $295,000 were issued at 102. The entry to record the issuance will include a credit to the Bonds Payable account for?

Q5. On December 31, 20X1, a corporation issued $230,000 face value, 12 percent bonds that mature 8 years from the date of issue. The issue price was 102. If the firm uses the straight-line method of amortization, interest expense for 20X2 will be reported at?