Tha buys back the bonds for 374521 immediately after the

Reference no: EM13575602

1.) Tony Hawk's Adventure (THA) issued callable bonds on January 1, 2012. THA's accountant has projected the following amortization schedule from issuance until maturity

Date	Cash Paid	Interest Expense	Increase in Carrying Value	Carrying Value
1/1/12				$370,205
6/30/12	$15,600	$18,510	$2,910	373,115
12/31/12	15,600	18,656	3,056	376,171
6/30/13	15,600	18,809	3,209	379,380
12/31/13	15,600	18,969	3,369	382,749
6/30/15	15,600	19,137	3,537	386,286
12/31/15	15,600	19,314	3,714	390,000

THA buys back the bonds for $374,521 immediately after the interest payment on 12/31/12 and retires them. What gain or loss, if any, would THA record on this date?

2.)

Discount-Mart issues $19 million in bonds on January 1, 2012. They have a nine-year term and pay interest semiannually. This is the partial bond amortization schedule for the bonds.

Date	Cash Paid	Interest Expense	Increase in Carrying Value	Carrying Value

1/1/12				$16,778,978
6/30/12	$760,000	$838,949	$78,949	16,857,927
12/31/12	760,000	842,896	82,896	16,940,823
6/30/13	760,000	847,041	87,041	17,027,864
12/31/13	760,000

What is the stated annual rate of interest on the bonds?

Reference no: EM13575602

Questions Cloud

Jeff jco borrowed 100000 at 8 interest for a period of : jeff jco. borrowed 100000 at 8 interest for a period of three months. what would be the total amount of cash he would

Hoehn manufacturing company experienced the following : having trouble with finding inventory results because im not sure where the 14000sold it for 25000. material cost

Stephen bosworth a super salesman contemplating retirement : stephen bosworth a super salesman contemplating retirement on his fifty-fifth birthday decides to create a fund on an 8

Which variance will be unfavorable due to employees : which variance will be unfavorable due to employees working more hours than allowed for the actual number of units

Tha buys back the bonds for 374521 immediately after the : 1. tony hawks adventure tha issued callable bonds on january 1 2012. thas accountant has projected the following

The red company uses flexible budgeting for cost control : the red company uses flexible budgeting for cost control. red produced 10800 units of product during october incurring

A corporation issued 800000 of 6 5-year bonds on january 1 : a corporation issued 800000 of 6 5-year bonds on january 1 when the market rate of interest was 8. interest is paid

Calculate the ebdat breakeven point for 2011 in terms of : in 2010 jennifer jen liu and larry mestas founded jen and larrys frozen yogurt company which was based on the idea of

Cherie companys standard labor cost of producing one unit : cherie companys standard labor cost of producing one unit of product dd is 3.70 hours at the rate of 13.00 per hour.

User Account

All Pages