Please complete all of it... all is one exercise. Please use the accounts from t
ID: 2537517 • Letter: P
Question
Please complete all of it... all is one exercise.
Please use the accounts from the list i provided, spell the whole name of the account
Exercise 17-3 7% yald. They are dated January 1 2017, and mature January 1 2022 th interest rec "le January 1 of cach year. on January 1 2017, Wildhorse Company purchased 9% bonds having a maturity value of $410,000, for $443,623.28. The bonds provide the bondholders with Wildharse Company uses the effective-interest method to allocate unamortized discount or premium. The bands are classified in the held-to-maturity category Prepare the journal entry at the date of the bond purchase. (Enter answers to 2 decimal places, e.g. 2,525.25, Gredit account titles are autommatically indented when amount is entered. Do not indent mmanually, If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit Jen. 1, 2017 LINK TO TEXT Prepare a bond amortzation schedule. (Round answers to 2 decimal places, e.g 2,525.25.) of Interest Revenue and Premium Date Received Revenue Amortized Interest Pr of Bonds 1/1/20 1/1/21 1/1/22 SHOW LIST OF ACCOUNTS Prapare the journal entry to racord the interest revenue and the amartization at Dacember 31, 2017. (Round answars to 2 dacimal places, ag- 2,525.25. Crodit account titles are automatically iadanted when amount is enterad. Do not indont manually. Ifno entry is required, select "'No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Dec 31, 2017 Prepare the journal try to record the interest revenue and the amortizatan at December 31 required, select "'No Entry" for the account titles and enter O for the amounts.) 2018. Round answers to 2 d e m Place e 9-2,525.25 Credit account title are automatically iadented w h n amount entered. Do not indent manual . If no atr is Date Account Titles and Explanation Doc. 31, 2018Explanation / Answer
Answer: Requirement 1 Date Account title and explanation Debit Credit Debt Investment-Held to maturity $ 443,623.28 Cash $ 443,623.28 (To record purchase of bonds) Requirement 2 Bond amortization Schedule Date Cash received ($410,000*9%) Interest Revenue (Carrying value*7%) Premium Amortization (Cash received-Interest Revenue) Carrying Amount of Bonds (Previous carring value-Premium amortization) 1/1/2017 $ 443,623.28 1/1/2018 $ 36,900.00 $ 31,053.63 $ 5,846.37 $ 437,776.91 1/1/2019 $ 36,900.00 $ 30,644.38 $ 6,255.62 $ 431,521.29 1/1/2020 $ 36,900.00 $ 30,206.49 $ 6,693.51 $ 424,827.78 1/1/2021 $ 36,900.00 $ 29,737.94 $ 7,162.06 $ 417,665.73 1/1/2022 $ 36,900.00 $ 29,234.27 $ 7,665.73 $ 410,000.00 Requirement 3 Date Account title and explanation Debit Credit 31-Dec-17 Interest receivable $ 36,900.00 Interest revenue $ 31,053.63 Debt Investment- Held-to-maturity $ 5,846.37 (To record interest revenue and amortization) Date Account title and explanation Debit Credit 31-Dec-18 Interest receivable $ 36,900.00 Interest revenue $ 30,644.38 Debt Investment- Held-to-maturity $ 6,255.62 (To record interest revenue and amortization)
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.