P12B-37A (similar to) Question Help Sleep Well, Inc. is authorized to issue 11%,

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P12B-37A (similar to) Question Help Sleep Well, Inc. is authorized to issue 11%, 10-year bonds payable. On January 1, 2016, when the market interest rate is 16%, the company issues S600.000 of the bonds. The bonds pay interest semiannualy Click the icon to view the Present Value of $1 table. (Click the on to view the Future Value of $1 table Read the requirements Click the on to ew the Present Value of Annuity of $1 table Click the icon to view the Future Value ofAnnuity of SI table. Requirement 1. How much cash did the company receive upon issuance of the bonds payable? (Round all numbers to the nearest whole dollar.) Upon issuance of the bonds payable, the company received $452,728 Requirement 2. Prepare an amortization table for the bond using the effective-interest method, through the first two interest payments. Round all numbers to the nearest whole dollar.) Carrying Amount Interest Discount Cash Paid Exp pense Amortized 01/01/2016 06/30/2016 12/31/2016 S 38.218 Requirements 1. How much cash did the company receive upon issuance of the bonds 2. Prepare an amortization table for the bond using the effective-interest 3. Jounalize the issuance of the bonds on January 1, 2016, and payment of the payable? (Round all numbers to the nearest whole dollar.) method, through the first two interest payments. (Round all numbers to the nearest whole dolar.) first semiannual interest amount and amortization of the bond on June 30 2016. Explanations are not re quired. Print Done Choose from any list or enter any number in th

Explanation / Answer

Cash paid Interest expense Discount amortized Carrying amount 01-01-2016 452728 06/30/16 33000 36218 3218 455946 13/31/16 33000 36476 3476 459422 3 Jan-01 Cash 452728 Discount on bonds payable 147272        Bonds payable 600000 Jun-30 Interest expense 36218         Discount on bonds payable 3218         Cash 33000

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