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Musya8 [376]
3 years ago
12

A company issued 10-year, 9% bonds with a par value of $500,000 when the market rate was 9.5%. The company received $484,087 in

cash proceeds. Using the straight-line method, prepare the issuer's journal entry to record the first semiannual interest payment and the amortization of any bond discount or premium.(Round amounts to the nearest whole dollar)
Business
1 answer:
kobusy [5.1K]3 years ago
5 0

Answer:

The Journal entries are as follows:

(1)

Cash A/c                                        Dr. $484,087

Discount on Bonds Payable A/c  Dr. $15913

To  Bonds Payable (a liability account)                    $500,000

(To record the first semiannual interest payment )

Workings:

Discount on bonds = 500,000 - 484,087

                                = 15,913

2.

Bonds payable A/c  Dr. $200,000

To Cash                                      200,000

(To record the amortization of any bond discount)

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Answer:

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6 0
3 years ago
Traditionally, ________ were always set up as non profit corporations.
riadik2000 [5.3K]
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3 years ago
It was the third meeting, but the group had finally agreed on the roles for each member. Cathy felt good about how things were p
Aleksandr-060686 [28]

Answer: norming

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When an investment bank ________ securities, it guarantees a price for a corporation's securities and then sells them to the pub
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6 0
2 years ago
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podryga [215]

Answer:

A clause that says Timothy (A construction worker) cannot work as a construction worker within the city for fifteen years once he leaves the company  is Legal because the employer can add any constraint to the agreement.

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Post-employment clause usually comes with additional benefits like payment of severance.

Enforcing an employment contract varies according to state laws. For this reason, before entering into a written employment contract, clean employee has to be clear on the terms and provisions of the contract because once you append your signature to any provision stipulated by the employer in the contract, it is binding.

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