Questions from Financial Accounting

Q: Allied Corp. issued 8 percent, five-year bonds payable

Allied Corp. issued 8 percent, five-year bonds payable at a price of $52,420 on January 1, 2018; the bonds have a maturity value of $50,000. Journalize the following transactions for Allied Corp. Incl...

Q: Allied Corp. issued at par 8 percent, five-year

Allied Corp. issued at par 8 percent, five-year bonds payable with a maturity value of $50,000 on May 1, 2018. Assume the fiscal year ends December 31. Journalize the following transactions and includ...

Q: Identify the section of the balance sheet in which the following accounts

Identify the section of the balance sheet in which the following accounts would be located: Current Assets (CA), Long-Term Assets (LTA), Current Liabilities (CL), or Long- Term Liabilities (LTL). ____...

Q: Wildflower Magazine, Inc., includes the following selected accounts in its

Wildflower Magazine, Inc., includes the following selected accounts in its general ledger at December 31, 2018: Requirement 1. Prepare the liabilities section of Wildflower Magazineâ€...

Q: On April 30, 2018, Dawson Co. borrowed $6

On April 30, 2018, Dawson Co. borrowed $6,000 on a one-year, 9 percent note payable. What amounts would Dawson Co. report for the note payable and the related interest payable on its balance sheet at...

Q: Phatboy Motorcycles, Inc., a motorcycle manufacturer, included the following

Phatboy Motorcycles, Inc., a motorcycle manufacturer, included the following note in its annual report: Requirements 1. Why are product liability losses considered contingent liabilities? 2. How can...

Q: Ling Company issued a $280,000, 4 percent mortgage

Ling Company issued a $280,000, 4 percent mortgage note on January 1, 2018, to purchase a building. Payments of $8,055 are made semiannually. Complete the following amortization schedule (partial) for...

Q: McCormack Co. purchased a building and issued a $360,

McCormack Co. purchased a building and issued a $360,000, 6 percent mortgage note on January 1, 2018. Payments of $13,008 are made semiannually on June 30 and December 31 each year. Record the journal...

Q: Willis Construction, Inc., completed the following transactions during June 2018

Willis Construction, Inc., completed the following transactions during June 2018, its first month of operations: Requirements 1. Open, or set up, T-accounts in the ledger for the following accounts...

Q: Determine whether the following bonds payable will be issued at par,

Determine whether the following bonds payable will be issued at par, at a premium, or at a discount: a. The market interest rate is 5 percent. Wilson Corp. issues bonds payable with a stated rate of 6...