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Question: On January 1, 2024, Splash City issues $


On January 1, 2024, Splash City issues $500,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year.
Required:
Assuming the market interest rate on the issue date is 10%, the bonds will issue at $457,102.
1. Complete the first three rows of an amortization schedule.
2. Record the bond issue on January 1, 2024, and the first two semiannual interest payments on June 30, 2024, and December 31, 2024.


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> January 1, 2024, Paradise Partners decides to upgrade recreational equipment at its resorts. The company is contemplating whether to purchase or lease the new equipment. Required: 1. The company can purchase the equipment by borrowing $250,000 with a 30-

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> On January 1, 2024, Jalen Company purchased land costing $800,000. Instead of paying cash at the time of purchase, Jalen plans to make four installment payments of $215,221.64 on June 30 and December 31 in 2024 and 2025. The payments include interest at

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> On January 1, 2024, Splash City issues $500,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. The market interest rate on the issue date is 10% and the bonds issued at $457,102. Required: 1. Using

> On January 1, 2024, White Water issues $600,000 of 7% bonds, due in 10 years, with interest payable annually on December 31 each year. Required: Assuming the market interest rate on the issue date is 6%, the bonds will issue at $644,161. 1. Complete the

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> Brady is hired in 2024 to be the accountant for Anderson Manufacturing, a private company. At the end of 2024, the balance of Accounts Receivable is $29,000. In the past, Anderson has used only the direct write-off method to account for bad debts. Based

> On January 1, 2024, Splash City issues $500,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. Required: Assuming the market interest rate on the issue date is 8%, the bonds will issue at $549,482.

> On January 1, 2024, Splash City issues $500,000 of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. Required: Assuming the bonds issue for $500,000, record the bond issue on January 1, 2024, and the firs

> On August 1, 2024, Trico Technologies, an aeronautic electronics company, borrows $21 million cash to expand operations. The loan is made by FirstBanc Corp. under a short-term line of credit arrangement. Trico signs a six-month, 9% promissory note. Inter

> On August 1, 2024, Trico Technologies, an aeronautic electronics company, borrows $21 million cash to expand operations. The loan is made by FirstBanc Corp. under a short-term line of credit arrangement. Trico signs a six-month, 9% promissory note. Inter

> On November 1, 2024, Aviation Training Corp. borrows $60,000 cash from Community Savings and Loan. Aviation Training signs a three-month, 7% note payable. Interest is payable at maturity. Aviation’s year-end is December 31. Required: 1. Record the note p

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> Micro Facilities incurs the following costs during the year. • A new patent is purchased for $600,000 from Techno Company. The patent gives Micro exclusive right to sell specialized data storage units. • Internal costs of $500,000 were used to research

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> On January 1, 2024, Weaver Corporation purchased a patent for $237,000. The remaining legal life is 20 years, but the company estimates the patent will be useful for only six more years. In January 2026, the company incurred legal fees of $57,000 in succ

> Brangelina Adoption Agency’s general ledger shows a cash balance of $11,663. The balance of cash in the March-end bank statement is $7,345. A review of the bank statement reveals the following additional information: deposits outstanding of $2,803, bank

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> On January 1, 2024, the general ledger of Big Blast Fireworks includes the following account balances: The $30,000 beginning balance of inventory consists of 300 units, each costing $100. During January 2024, Big Blast Fireworks had the following invent

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> Physicians’ Hospital has the following balances on December 31, 2024, before any adjustment: Accounts Receivable = $60,000; Allowance for Uncollectible Accounts = $1,100 (credit). On December 31, 2024, Physicians’ estimates uncollectible accounts to be 1

> During 2024, its first year of operations, Pave Construction provides services on account of $160,000. By the end of 2024, cash collections on these accounts total $110,000. Pave estimates that 25% of the uncollected accounts will be uncollectible. In 20

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> Refer to the information in BE3–12. (1) Record the lending for Falcon on July 1, 2024. (2) Record the adjusting entry for Falcon on December 31, 2024. (3) Calculate the 2024 year-end adjusted balances of Interest Receivable and Interest Revenue (assuming

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> Suzuki Supply reports the following amounts at the end of 2024 (before adjustment). Required: 1. Record the adjusting entry for uncollectible accounts using the percentage-of-receivables method. Suzuki estimates 12% of receivables will not be collected.

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> Below are several transactions for Meyers Corporation for 2024. Required: 1. For each transaction, determine the amount of cash flows (indicate inflows with a “+” and outflows with a “âˆ&#1

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> Below are transactions for Hurricane Company during 2024. 1. On October 1, 2024, Hurricane lent $9,000 to another company. The other company signed a note indicating principal and 12% interest will be paid to Hurricane on September 30, 2025. 2. On Novemb

> Below are transactions for Wolverine Company during 2024. 1. On December 1, 2024, Wolverine received $4,000 cash from a company that rents office space from Wolverine. The payment, representing rent for December and January, was credited to Deferred Reve

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> Consider the following situations for Shocker: 1. On November 28, 2024, Shocker received a $4,500 payment from a customer for services to be rendered evenly over the next three months. Deferred Revenue was credited on November 28. 2. On December 1, 2024,

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> On January 1, 2024, Red Flash Photography had the following balances: Cash, $12,000; Supplies, $8,000; Land, $60,000; Deferred Revenue, $5,000; Common Stock $50,000; and Retained Earnings, $25,000. During 2024, the company had the following transactions:

> Refer to the adjusted trial balance in E3–16. Required: 1. Record the necessary closing entries at December 31, 2024. 2. Prepare a post-closing trial balance. Data from E3-16: The December 31, 2024, adjusted trial balance for Fightin&a

> Laker Incorporated’s fiscal year-end is December 31, 2024. The following is an adjusted trial balance as of December 31. Required: 1. Prepare the necessary closing entries. 2. Calculate the ending balance of Retained Earnings. 3. Prepar

> Fighting Irish Incorporated pays its employees $5,600 every two weeks ($400/day). The current two-week pay period ends on December 28, 2024, and employees are paid $5,600. The next two week pay period ends on January 11, 2025, and employees are paid $5,6

> Seminoles Corporation’s fiscal year-end is December 31, 2024. The following is a partial adjusted trial balance as of December 31. Required: 1. Prepare the necessary closing entries. 2. Calculate the ending balance of Retained Earnings.

> The December 31, 2024, adjusted trial balance for Fightin’ Blue Hens Corporation is presented below. Required: 1. Prepare an income statement for the year ended December 31, 2024. 2. Prepare a statement of stockholdersâ€&#153

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> On December 31, 2024, Fighting Okra Cooking Services reports the following revenues and expenses. In addition, the balance of common stock at the beginning of the year was $200,000, and the balance of retained earnings was $32,000. During the year, the c

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> At the beginning of 2024, Artichoke Academy reported a balance in common stock of $150,000 and a balance in retained earnings of $50,000. During the year, the company issued additional shares of stock for $40,000, earned net income of $30,000, and paid d

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> Many outside the United States claim that a problem with U.S. GAAP is that there are too many rules. They argue for principles-based accounting standards in which the broad principles of accounting are emphasized and less emphasis is placed on detailed i

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