P11-25a billy hamburgers and p11a-4a tvx

P11-25A

 

Billy’ hamburgers issued 5%, 10-year bonds payable at 90 on December 31,2010. At December 31,2012 Billy reported the bonds payable as follows:

Long term debt:

 Bonds payable… $400,000

Less:Discount….      $32,000      $   368,000

Billy uses the straigt line amortization method and pays semiannual interest each June 30 and December 31.

 

Requirements:

1.  Answer the following questions about Billy’s bond payable:

      a. What is the maturity value of the bonds?

      b. What is the carrying amount of the bonds at December 31, 2012?

      c. What is the annual cash interest payment on the bonds?

      d. How much interest expense should the company record each year?

2.  Record the June 30, 2013, semiannual interest payment and amortization of discount.

3.  What will be the carrying amount of the bonds at December 31, 2013.

 

 

 

P11A-4A

 

TVX issued $800,000 of 5%, 10-year bonds payable at a price of 9.595 on March 31, 2012. The market interest rate at the date of issuance was 6%, and the date bonds pay interest seminannually.

 

Requirements

1.  How much cash did the company receive upon issuance of the bonds payable.

2.   Prepare an effective-interest amortization table for the bond discount through the first two interest payments. Use exhibit 11A-1 as a guide, and round amounts to the nearest dollar.

3.  Journalize the issuance of the bonds on March 30, 2012, and on September 30, 2012, payment of the first semiannual interest amount and amortization of the bond discount.  Explanations are not required.

 

Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more