Questions from Intermediate Accounting

Q: On January 1, 2013, Henderson Corporation retired $500,

On January 1, 2013, Henderson Corporation retired $500,000 of bonds at 99. At the time of retirement, the unamortized premium was $15,000 and unamortized bond issue costs were $5,250. Prepare the corp...

Q: Coldwell, Inc. issued a $100,000, 4

Coldwell, Inc. issued a $100,000, 4-year, 10% note at face value to Flint Hills Bank on January 1, 2013, and received $100,000 cash. The note requires annual interest payments each December 31. Prepar...

Q: What are the advantages of using restricted stock to compensate employees?

What are the advantages of using restricted stock to compensate employees?

Q: Samson Corporation issued a 4-year, $75,000

Samson Corporation issued a 4-year, $75,000, zero-interest-bearing note to Brown Company on January 1, 2013, and received cash of $47,664. The implicit interest rate is 12%. Prepare Samson’s journal e...

Q: McCormick Corporation issued a 4-year, $40,000

McCormick Corporation issued a 4-year, $40,000, 5% note to Greenbush Company on January 1, 2013, and received a computer that normally sells for $31,495. The note requires annual interest payments eac...

Q: Shlee Corporation issued a 4-year, $60,000

Shlee Corporation issued a 4-year, $60,000, zero-interest-bearing note to Garcia Company on January 1, 2013, and received cash of $60,000. In addition, Shlee agreed to sell merchandise to Garcia at an...

Q: Shonen Knife Corporation has elected to use the fair value option for

Shonen Knife Corporation has elected to use the fair value option for one of its notes payable. The note was issued at an effective rate of 11% and has a carrying value of $16,000. At year-end, Shonen...

Q: Presented below are various account balances. (a) Bank

Presented below are various account balances. (a) Bank loans payable of a winery, due March 10, 2016. (The product requires aging for 5 years before sale.) (b) Unamortized premium on bonds payable, of...

Q: How is antidilution determined when multiple securities are involved?

How is antidilution determined when multiple securities are involved?

Q: The following items are found in the financial statements. (

The following items are found in the financial statements. (a) Discount on bonds payable (b) Interest expense (credit balance) (c) Unamortized bond issue costs (d) Gain on redemption of bonds (e) Mort...