Not sure on how to calculate and record on feb 282012 ace

Assignment Help Accounting Basics
Reference no: EM13567257

Not sure on how to calculate and record. On Feb. 28,2012 Ace Company sold 8,000,000, 9%, 10yr bonds to purchase a new production machine. Bonds of similar risk and length have a current market rate of 8%. Can you answer the following questions & show how you got it please. Thanks so much for your help 1.Record the journal entry to sell the bonds and purchase the equipment 2.Record the first semi-annual interest payment. 3.Show how the bond would appear on the Dec 31, 2011 B.S.

Reference no: EM13567257

Questions Cloud

Svens cookhouse is a popular restaurant located on lake : svens cookhouse is a popular restaurant located on lake union in seattle. the owner of the restaurant has been trying
When computing the net present value of the project what is : hasko inc. has provided the following data to be used in evaluating a proposed investment projectinitial
Analyze the leadership styles of a senior executive ceo cfo : assignment leadership assessmentorganizational leaders are expected to create realistic visions for their companies and
The company uses a discount rate of 19 when computing the : yandell inc. is considering an investment project that would require an initial investment of 310000 and that would
Not sure on how to calculate and record on feb 282012 ace : not sure on how to calculate and record. on feb. 282012 ace company sold 8000000 9 10yr bonds to purchase a new
You are using the fair value option for a qualifying asset : instructions you have been asked to comment on the accounting treatment for various independent transactions by citing
When computing the net present value of the project what is : weichman inc. has provided the following data concerning an investment project that has been proposedinitial
He accrued expenses payable balance on july 1 relates to : select physical therapy inc. is planning its cash payments for operations for the third quarter 2013. the accrued
The difference between these monthly operating profit : zippy inc. manufactures large crates of microwaveable popcorn that are typically sold to distributors. its main factory

Reviews

Write a Review

Accounting Basics Questions & Answers

  Costing method of inventory

Jaclyn is going to the company's primary bank to negotiate a line of credit and wants to show the maximum amount of income without actually changing last year's results. What costing method of inventory(variable or absorption) should she choose? W..

  Paid in cash at the time of conversion

On October 1, 2011, $2,500,000 of these bonds were converted into 35,000 shares of $15 par common stock. Accrued interest was paid in cash at the time of conversion.

  Convergence of united states accounting standards

Within today's international business environment, there has been a great deal of discussion about the convergence of United States accounting standards

  Explain how the role of internal and external audit

select two components of internal control. Explain how the role of internal and external audit would differ in assessing these components.

  What is the effective annual interest rate

A magazine offers a one-year subscription at a cost of 15 with renewal the following year 16.50. Also offered is a two-year subscription at a cost of 28.

  Income statement as current provision for income taxes

Didde's effective income tax rate is 34% for 2011. What amount should Didde report in its 2011 income statement as the current provision for income taxes?

  Determine the total estimated uncollectibles

(a) Determine the total estimated uncollectibles. (b) Prepare the adjusting entry at March 31, 2007, to record bad debts expense. (c) Discuss the implications of the changes in the aging schedule from 2006 to 2007

  Activity-based costing and management

How does activity-based costing differ from other forms of costing? What about activity-based management? Are activity-based costing and management suitable to all companies? Why or why not?

  Equipment for companies throughout the northeast

Discuss the effect that this event will have on the company's financial statements - Data Technologies provides maintenance service for computers and office equipment for companies throughout the Northeast.

  Suitable option to buy a car

Casso limited has an option to purchase new car for the use from a bank on loan for Rs. 100,000 with 16% interest payable annually and the principal is repayable in full at the end of four years.

  Compare and contrast the differences in accounting processe

Compare and contrast the differences in accounting processes and procedures that medium sized companies such as yours go through when going public.

  Operating segment aggregation

When can information about two operating segments be aggregated? How is accounting for pensions different than accounting for other post-retirement benefits?

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!

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