Questions from Financial Accounting

Q: Spring Company sells $200,000 of 12%, 10-

Spring Company sells $200,000 of 12%, 10-year bonds for 96 on April 1, 2010. The market rate of interest on that day is 12.5%. Interest is paid each year on April 1. The entry to record the sale of th...

Q: Spring Company sells $200,000 of 12%, 10-

Spring Company sells $200,000 of 12%, 10-year bonds for 96 on April 1, 2010. The market rate of interest on that day is 12.5%. Interest is paid each year on April 1. Spring Company uses the straight-l...

Q: Spring Company sells $200,000 of 12%, 10-

Spring Company sells $200,000 of 12%, 10-year bonds for 96 on April 1, 2010. The market rate of interest on that day is 12.5%. Interest is paid each year on April 1. Write the adjusting entry required...

Q: Spring Company sells $200,000 of 12%, 10-

Spring Company sells $200,000 of 12%, 10-year bonds for 96 on April 1, 2010. The market rate of interest on that day is 12.5%. Interest is paid each year on April 1. Write the journal entry requiremen...

Q: Evan Root operates a bowling alley. He has just received the

Evan Root operates a bowling alley. He has just received the monthly bank statement at April 30 from City National Bank, and the statement shows an ending balance of $565. Listed on the statement are...

Q: McPartlin Corporation issued $300,000 of 10%, 10-

McPartlin Corporation issued $300,000 of 10%, 10-year bonds payable on January 1, 2010, for $236,370. The market interest rate when the bonds were issued was 14%. Interest is paid semiannually on Jan...

Q: Using the facts in the preceding question, McPartlins journal entry to

Using the facts in the preceding question, McPartlins journal entry to record the interest expense on July 1, 2010 will include a a. debit to Bonds Payable. b. credit to Discount on Bonds Payable....

Q: The journal entry on the maturity date to record the payment of

The journal entry on the maturity date to record the payment of $500,000 of bonds payable that were issued at a $50,000 discount includes a. a debit to Bonds Payable for $500,000. b. a credit to Cas...

Q: On August 1, 2010, Botores, Inc., sold equipment

On August 1, 2010, Botores, Inc., sold equipment and accepted a six-month, 12%, $50,000 note receivable. Botores year-end is December 31. How much interest does Botores, Inc., expect to collect on th...

Q: On August 1, 2010, Botores, Inc., sold equipment

On August 1, 2010, Botores, Inc., sold equipment and accepted a six-month, 12%, $50,000 note receivable. Botores year-end is December 31. Which of the following accounts will Botores credit in the jo...