User Account

All Pages

Prepare a serial bond discount amortization

Assignment Help Accounting Basics
Reference no: EM13871199

On July 1, 2010, the Hubbard Corporation issued $600,000 of bonds with an 8% face rate of interest. The bonds were issued for $589,381.93, pay interest semiannually on June 30 and December 31, carry an effective yield rate of 9%, and are payable in three annual installments of $200,000 each, beginning June 30, 2011.

Required:
1. Prepare a serial bond discount amortization schedule using the bonds outstanding method.
2. Prepare a serial bond discount amortization schedule using the effective interest method.
3. Prepare the journal entries necessary to record the payment of interest and the bond retirements on June 30, 2011, June 30, 2012, and June 30, 2013, using 
(a) The bonds outstanding method, and 

(b) The effective interest method.

Reference no: EM13871199

Questions Cloud

What amount of net income would the phone company report : What amount of Sales, Bad Debt Expense, and Net Income would the phone company report from these events in 2015 and 2016 if it used the allowance method of accounting for uncollectible accounts? Assume the company estimates 5 percent of credit sales ..
Prove the fifth fact from the subsection on syndicate theory : Prove the fifth fact from the subsection on syndicate theory. The key is to find out the right values for the constants ki . The ki are defined so that the first-order conditions all hold and the adding up condition holds.
Oxide reacts with 11.5 grams of carbon monoxide : If 12.8 grams of iron (III) oxide reacts with 11.5 grams of carbon monoxide to produce 6.10 g of pure iron, what are the theoretical yield and percent yield of this reaction? Be sure to show the work that you did to solve this problem.unbalanced equa..
Explain the difference between bond yield and coupon interes : Explain the difference between Bond Yield and Coupon Interest Rate
Prepare a serial bond discount amortization : On July 1, 2010, the Hubbard Corporation issued $600,000 of bonds with an 8% face rate of interest.
Define flexible budget always better? : Define flexible budget always better?
What happen if b1 and b2 are perfectly positively correlated : You should be able to construct an example from this. The second example is even easier. What happens if B1 and B2 are perfectly positively correlated and B2 always exceeds B1?
What factors would this department store company have : In April 2006, Kohl's Corporation decided to discontinue its Kohl's credit card operations. What factors would this department store company have considered prior to making this decision?
What are some of the ethical responsibilities and obligation : What are some of the ethical responsibilities and obligations that management accountants have within an organization?

Reviews

Write a Review

Accounting Basics Questions & Answers

  For warren corporation year-end assests were 2000000 at

for warren corporation year-end assests were 2000000. at the beginning of the year plan assests were 1780000. during

  How should needsspace account for the two obligations noted

needs space has entered into a lease agreementwith wehaveit to rent space for its corporate offices. the lease

  Bumpas enterprises purchases 4562500 in goods per year

bumpas enterprises purchases 4562500 in goods per year from its sole supplier on terms of 215 net 50. if the firm

  Assess the information presented in the medical group

1. another name for the statement of revenue and expenses financial accounting report is the statement of cash flows.2.

  Washington industries had budgeted moh of 90000 and

washington industries had budgeted moh of 90000 and anticipated using 25000 machine hours during the period. actual moh

  What is capital investment analysis identify four capital

a what is capital investment analysis? identify four capital investment analysis models discussed in the chapter and

  Harold corporation a manufacturer of electronics and

harold corporation a manufacturer of electronics and communications systems uses a service department charge system to

  Grace herron has just approached a venture capitalist for

grace herron has just approached a venture capitalist for financing for her new business venture the development of a

  Amount allocated to cost of goods sold

Using the FIFO inventory method, the amount allocated to COST OF GOODS SOLD for July is ??

  Interest share of consolidated net income

Gallow's reported net income was $204,000, and Race's net income was $806,000. Race decided to use the equity method to account for this investment. What was the noncontrolling interest's share of consolidated net income?

  Would you recommend a stock dividend or a stock split

Your company has been very profitable and expects continued financial success. Its stock price has reached a point where the company needs to make it more affordable. Would you recommend a stock dividend or a stock split? Why?

  On january 6 gramke co sells merchandise on account to

on january 6 gramke co. sells merchandise on account to colt inc. for 8000 terms 110 n30. on january 16 colt pays the

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: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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