User Account

All Pages

Prepare the entry to record interest on july

Assignment Help Accounting Basics
Reference no: EM132074956

Question - On February 1, 2016, One Minute Inc. issued 10% bonds dated February 1, 2016 with a face amount of $200,000. The bonds sold for $239,588 and mature in 20 years. The effective interest rate for these bonds was 8%. Interest is paid semiannually on July 31 and January 31. One Minute's fiscal year is the calendar year. One Minute uses the effective interest method of amortization.

a) Prepare the journal entry to record the bond issuance on February 1, 2016.

b) Prepare the entry to record interest on July 31, 2016.

c) Prepare the necessary Journal entry on December 31, 2016.

d) Prepare the necessary journal entry on January 31, 2017.

Reference no: EM132074956

Questions Cloud

Suffered an enormous earthquake and tsunami : Mr. Biggs and Donna were meeting when Wally rushed in to announce that Japan had just suffered an enormous earthquake and tsunami.
Prepare the adjusting entry to be made on december : Assuming that interest and discount amortization are recorded each May 31, prepare the adjusting entry to be made on December 31, 2015
How much would you pay today for a zero-coupon bond : A zero-coupon bond is a security that pays no interest, and is therefore bought at a substantial discount from its face value.
Describe the core attributes of an effective team : Which of the EI building blocks would impact management's ability to enhance employee performance and job satisfaction?
Prepare the entry to record interest on july : On February 1, 2016, One Minute Inc. issued 10% bonds dated February 1, 2016 with a face amount of $200,000. Prepare the entry to record interest on July
United states has true democratic government : Do you think that the United States has a true democratic government?
Are marketers overestimating the powers of branding : Are marketers overestimating the powers of branding? Can brands create social and/or cultural values?
Regarding e-commerce marketing and strategy : You have been hired by a business as a management consultant specializing in advice regarding e-commerce marketing and strategy.
Advertising a deal in which you buy : A local furniture store is advertising a deal in which you buy a $5,200 living room set with three years before you need to make any payments

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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