If $110,000 of 12 percent bonds are issued (at face value) one month after the last semi-annual interest date, the entry made to record the issue is:
a. Cash 111,100
Bonds Payable 110,000
Bond Interest Expense 1,100
b. Cash 111,100
Bonds Payable 111,100
c. Cash 105,600
Bond Interest Expense 5,500
Bonds Payable 111,100
d. Cash 115,500
Bonds Payable 110,000
Bond Interest Expense 5,500
A
You might also like to view...
Imagine that you are the CEO of a national chain of pet stores, Pets R Us. Define competitive intelligence and explain how you would use it to assess the current reality/business climate.
What will be an ideal response?
On January 1, 20X2, Pint Corporation acquired 80 percent of Size Corporation for $200,000 cash. Size reported net income of $25,000 each year and dividends of $5,000 each year for 20X2, 20X3, and 20X4. On January 1, 20X2, Size reported common stock outstanding of $160,000 and retained earnings of $40,000, and the fair value of the noncontrolling interest was $50,000. It held land with a book value of $90,000 and a market value of $100,000, and equipment with a book value of $40,000 and a market value of $48,000 at the date of combination. The remainder of the differential at acquisition was attributable to an increase in the value of patents, which had a remaining useful life of eight years. All depreciable assets held by Size at the date of acquisition had a remaining economic life of
eight years. Pint uses the equity method in accounting for its investment in Size.Based on the preceding information, the increase in the fair value of patents held by Size is A. $18,000 B. $32,000 C. $10,000 D. $50,000
Labor laws:
a. require job security after five years b. regulate the hours and rates of pay of various industries c. protect the rights of employees to join together for collective bargaining d. none of these
Woodworks, Inc. markets furniture directly to businesses. This is an example of a(n) ____ channel.
A. producer-to-business buyer B. producer-to-industrial-distributor-to-business buyer C. producer-to-agent-to-business buyer D. equipment E. consumer