please make journal entries from above info 9On 12/31/14, ABC issued 5,000 share
ID: 2577275 • Letter: P
Question
please make journal entries from above info
9On 12/31/14, ABC issued 5,000 shares of $3 pat value common stock at the closing matket price of $7 per shate. Ptepare ABC's journal enty to reflect the issuance of the stock on 12/31/14. B 10 On 7/1/14, ABC sold 12% bonds having a maturity value of S800,000 for $861,771 resulting in an effective yield of 100 The bonds are 9 dated 7/1/14, and mature 7/1/19. Interest is payable semiannually on July 1 and January 1. ABC uses the effective interest method of 1Hint: Develop an abbreviated amortization schedule to accurately deteimine the interest expense. 4 11 The following information is available for ABC Corporation at 12/31/14 regarding its investments in stocks of other companies. amortization for bond premium or discount. Record the adjusting entry for the accrual of interest and the related amortization on 12/31/14. Securities 2,200 shares of Toyota Corporation Common Stock 1,100 shares of G.M. Corporation Common Stock Cost Fair Value $ 100,000 125,000 S 67000 S 34,000 8 9 0Prepare the adjusting entry (if any) for 2014, assuming the securities are classified as trading. S 167,000 $ 159,000 31Explanation / Answer
10)
Journal
Dec31, 2014
Interest Expense Dr. $ 43089
Premium on bonds payable Dr. $ 4911
Interest payable Cr. $ 48000
11)
Date Interest Payment @ 6% Interest Expense @ 5% Amortization of bond premium Credit Balance in the Bond Premium Account Credit Balance in the bonds Payable Account Book value/Carrying Value of the bond $ $ $ $ $ $ 1-Jul-14 61771 800000 861771 31-Dec-14 48000 43089 4911 56860 800000 856860
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.