Problem 10-10A
The following is taken from the Colaw Company balance
sheet.
COLAW COMPANY
Balance Sheet...
Problem 10-10A
The following is taken from the Colaw Company balance
sheet.
COLAW COMPANY
Balance Sheet (partial)
December 31, 2015
Current Liabilities
Interest payable (for 6 months from July 1 to December 31)
$123,705
Long-term Liabilities
Bonds payable, 9% due January 1, 2026
$2,749,000
Add: Premium on bonds payable
212,500
$2,961,500
Interest is payable semiannually on January 1 and July 1. The bonds
are callable on any semiannual interest date. Colaw uses
straight-line amortization for any bond premium or discount....
Exercise 15-07 a-c
The following section is taken from Sandhill Corp.’s balance sheet
at December 31,...
Exercise 15-07 a-c
The following section is taken from Sandhill Corp.’s balance sheet
at December 31, 2019.
Current liabilities
Interest payable
$ 113,400
Long-term liabilities
Bonds payable, 7%,
due January 1, 2024
1,620,000
Bond interest is payable annually on January 1. The bonds are
callable on any interest date.
Your answer is partially correct. Try again.
Journalize the payment of the bond interest on January 1, 2020.
(Credit account titles are automatically indented when
amount is entered. Do not indent manually.)...
The following are Marin Corp.’s comparative balance sheet
accounts at December 31, 2017 and 2016, with...
The following are Marin Corp.’s comparative balance sheet
accounts at December 31, 2017 and 2016, with a column showing the
increase (decrease) from 2016 to 2017.
COMPARATIVE BALANCE SHEETS
2017
2016
Increase
(Decrease)
Cash
$813,400
$705,900
$107,500
Accounts receivable
1,123,400
1,156,600
(33,200
)
Inventory
1,863,500
1,731,800
131,700
Property, plant, and equipment
3,302,300
2,988,100
314,200
Accumulated depreciation
(1,162,900
)
(1,033,700
)
(129,200
)
Investment in Myers Co.
307,100
276,600
30,500
Loan receivable
252,200
—
252,200
Total assets
$6,499,000
$5,825,300
$673,700
Accounts...
sShannon Company issued $1,000,000, 8%, 10-year bonds on
December 31, 2016, for $960,000. Interest is payable...
sShannon Company issued $1,000,000, 8%, 10-year bonds on
December 31, 2016, for $960,000. Interest is payable annually on
December 31. Shannon uses the straight-line method to amortize bond
premium or discount.
(a)
The issuance of the bonds.
(b)
The payment of interest and the discount amortization on
December 31, 2017.
(c)
The redemption of the bonds at maturity, assuming interest for
the last interest period has been paid and recorded.
Following are selected balance sheet accounts of Carla Bros.
Corp. at December 31, 2017 and 2016,...
Following are selected balance sheet accounts of Carla Bros.
Corp. at December 31, 2017 and 2016, and the increases or decreases
in each account from 2016 to 2017. Also presented is selected
income statement information for the year ended December 31, 2017,
and additional information.
Selected balance sheet accounts
Assets
2017
2016
Increase (Decrease)
Accounts receivable
$33,700
$24,000
$9,700
Property, plant, and equipment
276,400
249,500
26,900
Accumulated depreciation—plant assets
(178,400)
(167,300)
(11,100)
Liabilities and stockholders’ equity
2017
2016
Increase...
The December 31, 2016, balance sheet of ABC, LLP included 12%
bonds with a face amount...
The December 31, 2016, balance sheet of ABC, LLP included 12%
bonds with a face amount of $100 million. The bonds were issued in
2006 and had a remaining discount of $3,400,000 at December 31,
2016. On January 1, 2017, ABC called the bonds at a price of
102.
Prepare the journal entry by ABC to record the
retirement of the bonds on January 1, 2017.
What is the difference between loss on early extinguishment of
debt and loss on...
Riggs Corporation has the following balance sheet information at
December 31, 2016.
Current
liabilities
$
800,000...
Riggs Corporation has the following balance sheet information at
December 31, 2016.
Current
liabilities
$
800,000
Convertible bonds ($1,000 par,
5%)
2,000,000
Common stock ($1 par, 300,000
shares issued
300,000
Additional paid-in capital
2,100,000
Retained earnings
3,230,000
Treasury stock (43,000
shares)
(1,161,000
)
Total liabilities and
shareholders’ equity
$
7,269,000
The convertible bonds were issued at par in 2014 and are
convertible into Riggs’s common stock at a ratio of 15 shares of
stock to 1 bond. In its December...
Champs Ltd. is authorized to issue $3,500,000 of 4?%, 10?-year
bonds payable. On December? 31, 2016?,...
Champs Ltd. is authorized to issue $3,500,000 of 4?%, 10?-year
bonds payable. On December? 31, 2016?, when the market interest
rate is 5?%, the company issues
$2,800,000 of the bonds.
Champs Ltd. amortizes bond discount by the? effective-interest
method. The semiannual interest dates are June 30 and December
31.
Requirements
1.
Use
the PV function in Excel to calculate the issue price of the
bonds.
2.
Prepare a bond amortization table for the first year of the
bond
3.
Record...
Bradley-Link’s December 31, 2018, balance sheet included the
following items: Long-Term Liabilities ($ in millions) 7.0%...
Bradley-Link’s December 31, 2018, balance sheet included the
following items: Long-Term Liabilities ($ in millions) 7.0%
convertible bonds, callable at 102 beginning in 2019, due 2022 (net
of unamortized discount of $2) [note 8] $198 11.0% registered bonds
callable at 105 beginning in 2028, due 2032 (net of unamortized
discount of $1) [note 8] 65 Shareholders’ Equity 5 Equity—stock
warrants Note 8: Bonds (in part) The 7.0% bonds were issued in 2005
at 98.0 to yield 10%. Interest is paid...
The balance sheet for Oriole Consulting reports the following
information on July 1, 2020. Long-term liabilities...
The balance sheet for Oriole Consulting reports the following
information on July 1, 2020. Long-term liabilities Bonds payable
$4,500,000 Less: Discount on bonds payable 180,000 $4,320,000
Oriole decides to redeem these bonds at 104 after paying annual
interest. Prepare the journal entry to record the redemption on
July 1, 2020.