80.2K

Verified Solution

Link Copied!

Can you please solve part b for me. emtries for 1 july 2020,1 jan 21 and 1 july 21

On July 1, 2020 Cullumber Limited issued bonds with a face value of $980,000 due in 20 years, paying interest at a face rate of 10% on January 1 and July 1 each year. The bonds were issued to yield 11%. The company's year-end was September 30. The company used the effective interest method of amortization. Click here to view the factor table PRESENT VALUE OF 1. Click here to view the factor table PRESENT VALUE OF AN ANNUITY OF 1. (a) Your answer is correct. Using 1. factor Tables 2. a financial calculator, or 3, Excel function PV, calculate the premium or discount on the bonds. (Round factor values to 5 decimal places, eg. 1.25124 and final answer to O decimal places, e.g. 5,275) Discount on bond 78626 $ eTextbook and Media Assistance Used List of Accounts Attempts: 1 of 2 used (b) Prepare a partial Bond Premium/Discount Amortization Schedule for Cullumber Limited. Only prepare the entries in the schedule for July 1, 2020, January 1, 2021, and July 1, 2021. (Round answers to 0 decimal places, eg. 5,275) (b) Prepare a partial Bond Premium/Discount Amortization Schedule for Cullumber Limited. Only prepare the entries in the schedule for July 1, 2020, January 1, 2021, and July 1, 2021. (Round answers to 0 decimal places, eg 5,275) Date Cash Paid Interest Expense Discount Amortized 1-Jul-20 1-Jan-21 1-Jul-21 eTextbook and Media List of Accounts Attempts: 0 of 2 used Sub Arwer (c) The parts of this question must be completed in order. This part will be available when you complete the part abo $

Answer & Explanation Solved by verified expert

See Answer