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v2.cengagenow.com CengageNOWv2 | Online teaching and learning resource from Cengage Learning Chapter 11 Homework eBook | Show Me How Calculator 1. BE.11-0 Entries for Issuing Bonds and Amortizing Discount by Straight-Line Method 2. BE.11-01.ALGO 3. BE.11-02 4. BE.11-02.ALGO 5. BE.11-03 6. BE.11-03ALGO 7. BE.11-04 8. BE.11-04.ALGO 9. BE.11-05 10. BE.11-05.ALGO 11. EX.11-02 12. EX.11-02.ALGO 13. EX.11-03 14. EX.11-04 15. PR.11-01.ALGO On the first day of its fiscal year, Chin Company issued $10,000,000 of five-year, 7% bonds to finance its operations of producing and selling home improvement products. Interest is payable semiannually. The bonds were issued at a market effective interest rate of 8% resulting in Chin receiving cash of $9,594,415 a. Journalize the entries to record the following: 1. Issuance of the bonds 2. First semiannual interest payment. The bond discount is combined with the semiannual interest payment. (Round your answer to the nearest dollar.) 3. Second semiannual interest payment. The bond discount is combined with the semiannual interest payment. (Round your answer to the nearest dollar.) For a compound transaction, if an amount box does not require an entry, leave it blank. Round your answers to the nearest dollar. 1. 2. 3. Check My Work 3 more Check My Work uses remaining. Previous Next Progress: 13/15 items Assignment Score: 60% All work saved Email Instructor Save and Exit Submit Assignment for GradingExplanation / Answer
Journal entry :
Date accounts & explanation debit credit Cash a/c 9594415 Discount on bonds payable 405585 Bonds payable a/c 10000000 (To record issuance of bonds payable) Interest expenses a/c 390559 Discount on bonds payable a/c 40559 Cash a/c 350000 (To record interest expenses ) Interest expenses a/c 390559 Discount on bonds payable a/c 40559 Cash a/c 350000 (To record interest expenses )Related Questions
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