Use the following partial bond amortization schedule to answer the question. Given information: A corporation...
60.1K
Verified Solution
Link Copied!
Question
Accounting
Use the following partial bond amortization schedule to answer the question. Given information: A corporation issues $100,000 of bonds on January 1, 2021. The bonds have a 10-year term and pay interest semiannually on June 30 and December 31 each year. What is the carrying value of the bonds of December 31, 2021?
| (1) | (2) | (3) | (4) | (5) |
| Date | Cash Paid | interest expense | increase in Carrying Value | CarryingValue |
| Face amount X stared Rate | Carrying Value X market Rate | (3)-(2) | Prior Carrying value + (4) | |
| 1/1/2021 | $93205 | |||
| 6/30/2021 | $3500 | 3728 | 228 | 93433 |
| 12/31/2021 | 3500 | 3737 | 237 | 93670 |
| . | . | . | . | . |
| . | . | . | . | 99057 |
| 6/30/2030 | 3500 | 3962 | 462 | 99519 |
| 12/31/2030 | 3500 | 3981 | 481 | 100000 |
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.