Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates and at year-end. (Round answers to O...


Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize<br>premium or discount on interest dates and at year-end. (Round answers to O decimal places, e.g. 38,548.)<br>Schedule of Bond Discount Amortization<br>Effective-Interest Method<br>Bonds Sold to Yield<br>Carrying<br>Cash<br>Interest<br>Premium<br>Amount of<br>Paid<br>Expense<br>Amortized<br>Bonds<br>i<br>$<br>2$<br>489,036<br>25,860<br>19,561<br>6,299<br>495,335<br>25,860<br>19,813<br>6,047<br>501,382<br>25,860<br>20,055<br>5,805<br>507,187<br>25,860<br>20,287<br>5,573<br>512,760<br>25,860<br>20,510<br>5,350<br>518,110<br>25,860<br>20,724<br>5,136<br>53.246<br>25,860<br>20,930<br>4,930<br>528,176<br>25,860<br>21,127<br>4,733<br>532,909<br>* Difference due to rounding<br>

Extracted text: Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates and at year-end. (Round answers to O decimal places, e.g. 38,548.) Schedule of Bond Discount Amortization Effective-Interest Method Bonds Sold to Yield Carrying Cash Interest Premium Amount of Paid Expense Amortized Bonds i $ 2$ 489,036 25,860 19,561 6,299 495,335 25,860 19,813 6,047 501,382 25,860 20,055 5,805 507,187 25,860 20,287 5,573 512,760 25,860 20,510 5,350 518,110 25,860 20,724 5,136 53.246 25,860 20,930 4,930 528,176 25,860 21,127 4,733 532,909 * Difference due to rounding
(b)<br>Bonita Co. sells $431,000 of 12% bonds on June 1, 2020. The bonds pay interest on December 1 and June 1. The due date of the<br>bonds is June 1, 2024. The bonds yield 8%. On October 1, 2021, Bonita buys back $137,920 worth of bonds for<br>$144,920 (includes accrued interest). Give entries through December 1, 2022.<br>Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize<br>premium or discount on interest dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.)<br>

Extracted text: (b) Bonita Co. sells $431,000 of 12% bonds on June 1, 2020. The bonds pay interest on December 1 and June 1. The due date of the bonds is June 1, 2024. The bonds yield 8%. On October 1, 2021, Bonita buys back $137,920 worth of bonds for $144,920 (includes accrued interest). Give entries through December 1, 2022. Prepare a bond amortization schedule using the effective-interest method for discount and premium amortization. Amortize premium or discount on interest dates and at year-end. (Round answers to 0 decimal places, e.g. 38,548.)

Jun 08, 2022
SOLUTION.PDF

Get Answer To This Question

Related Questions & Answers

More Questions »

Submit New Assignment

Copy and Paste Your Assignment Here