Part G On January 1 2021 Company A. issued five-year bonds with a face value of $600,000 and a stated interest rate of 6

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: Part G On January 1 2021 Company A Issued Five Year Bonds With A Face Value Of 600 000 And A Stated Interest Rate Of 6 1 (116.13 KiB) Viewed 17 times

: Part G On January 1 2021 Company A Issued Five Year Bonds With A Face Value Of 600 000 And A Stated Interest Rate Of 6 2 (85.62 KiB) Viewed 17 times

: Part G On January 1 2021 Company A Issued Five Year Bonds With A Face Value Of 600 000 And A Stated Interest Rate Of 6 3 (72.17 KiB) Viewed 17 times

Part G On January 1 2021 Company A. issued five-year bonds with a face value of $600,000 and a stated interest rate of 6% payable semiannually on June 30 and December 31. The prevailing rate of interest for this type of bond at date of issuance was 5%. Present value of an Present value of 1 0.78353 0.74726 i Present value of an ordinary annuity 4.32948 4.21236 8.75206 3 5° Future value of an ordinary annuity 5.52563 5.63709 11.20338 11.46338 12.57789 13.18079 Future Value of 1 1.27628 1.33823 1.28008 1.34392 1.62889 1.79085 annuity due 4.54595 4.46511 8.97087 5 6 10 0.78120 2%。 3% 10 0.74409 8.53020 8.78611 8.10782 10 0.61391 7.72173 5% 10 0.55839 7.36009 7.80169 6% 1. Calculate the issue price of the bonds. (3 pts) (provide the total issue price of the bonds in the blank space) 2. Prepare the journal entry to record the January 1, 2021 issuance of bonds on Company A's books. (12 pts) Account Title Debit Credit 3. Prepare the journal entry to record the payment of interest on 12/31/22 in Company A's books using the effective interest method of amortization of bond premium or discount. (10 pts)
2. Prepare the journal entry to record the January 1, 2021 issuance of bonds on Company A's books. (12 pts) Account Title Debit Credit 3. Prepare the journal entry to record the payment of interest on 12/31/22 in Company A's books using the effective interest method of amortization of bond premium or discount. (10 pts) Account Title Debit Credit 4. . What is the total interest expense that will be recognized over the life of the bond? (3pts)
4. . What is the total interest expense that will be recognized over the life of the bond? (3pts) 5. What is the net amount related to the bonds that Company A will report in its balance sheet at December 31, 2022? (3 pts) 6. What is the impact of the bond on 2022 income given a 20% tax rate? (3pts) (3) For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). B I V S Paragraph Arial 14px ili А у TE % ...
Part E XYZ Corp. is purchasing new equipment with a cash cost of $210,618. The manufacturer has offered to accept $50,000 payment (including interest) at the end of each of the next five years. Present value of Future Value of annuity due TI 1 5 5 5 Present value of 1 0.82193 0.78353 0.74726 4.62990 Future value of an ordinary annuity 5.41632 5.52563 5.63709 5.86660 1.21665 1.27628 1.33823 1.46933 Present value of an ordinary annuity 4.45182 4.32948 4.21236 3.99271 3.79079 3.60478 4.54595 4% 5% 6% 8% 10% 129 5 4.46511 4.31213 4.16986 4.03735 5 5 5 0.68058 0.62092 0.56743 1.61051 1.76234 6.10510 6.35285 1. What is the total interest expense that would be incurred by XYZ Corp. over the term of the loan with the manufacturer? (Apts) 2. What is the interest rate charged by the manufacturer? (4pts) 3. What would the annual payments be if XYZ obtained financing from the bank @ 4%? (4pts)
2. What is the interest rate charged by the manufacturer? (4pts) 3. What would the annual payments be if XYZ obtained financing from the bank @4%? (Apta) For the toolbar, press ALT+F10 (PC) or ALT FN+F10 (Mac). BI U S Paragraph Arial RE 14px !!! A T. < X 0 L OWO POWERED BY TINY P Question 6 of 8 A Meling to another question will save this response Close Window