Serotta Corporation is planning to issue bonds with a face value of $450,000 and a coupon rate of 16 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Serotta uses the effective-interest amortization method and also uses a premium account. Assume an annual market rate of interest of 12%.
1. Provide the journal entry to record the issuance of the bonds January 1.
2. Provide the journal entry to record the interest payment on March 31, June 30, September 30, and December 31 of this year.
3. What bonds payable amount will Serotta report on this year's December 31 balance sheet?
Answers: 3
Business, 21.06.2019 18:20, Heavengunn15
Which of the following is intended to demonstrate to an employer the importance of cooperating with workers? a. a collective agreement. b. a stock offer. c. a boost in production. d. a work slowdown. 2b2t
Answers: 2
Business, 22.06.2019 01:50, mattstudy305
Which statement below best describes george waring's approach to solving the problems of water-borne illness? a. waring is going with his "gut," because he believes that instincts and emotions are the best guides for action. b. waring efficiently and thoroughly lays out the case for why the problems are too large and overwhelming to be solved: people should just move out of cities back to their farms. c. waring has gathered the testimonies of people who live in densely populated areas in order to learn how they themselves have solved their problems. d. waring exhibits the industrial age's increased respect for and reliance on science and the scientific method.
Answers: 1
Business, 22.06.2019 11:00, szinx
Abank provides its customers mobile applications that significantly simplify traditional banking activities. for example, a customer can use a smartphone to take a picture of a check and electronically deposit into an account. this unique service demonstrates the bank’s desire to practice which one of porter’s strategies?
Answers: 3
Business, 22.06.2019 11:00, saurav76
When using various forms of promotion to carry the promotion message, it is important that the recipients of the message interpret it in the same way. creating a unified promotional message, where potential customers perceive the same message, whether it is in a tv commercial, or on a billboard, or in a blog, is called
Answers: 2
Serotta Corporation is planning to issue bonds with a face value of $450,000 and a coupon rate of 16...
Physics, 04.10.2020 23:01
Social Studies, 04.10.2020 23:01
Mathematics, 04.10.2020 23:01