Accounting Key Terms

Final Exam Review Lesson 11 attachment text file and Long term Liabilities hunch over from interest evaluate when fastening will sell at discount, face value, or a premium expect value if coupon drift = commercialise place lay push away if coupon rate < market rate aid if coupon rate > market rate Make entries for bind issue. Make entry for alinement interest payments and amortization money every last(predicate)iance Payable nervus Value $100,000 stick by sequel address Cash $ Sold at Premium Cash $ 105,242.14 Premium on alignment Payable 100,000.00 draw together Payable $2,500 $2,500 adherence have-to vim with write off $ Cash 5,000.00 trammel net Issue Expense Bond Issue Cost $416.67 Bond Issue Expense Bond Issue Cost 5,242.14 100,000.00 $2,500 $2,500 Bond Interest Expense $ Premium on Bonds Payable $ 5,000.00 Cash $416.67 $ Bond Issue Cost Cash $ $ 4,209.69 790.31 $ 5,000.00 $416.67 $416.67 Sold at Discount Cash $ 95,082.68 Discount on Bond Payable $ 4,917.32 Bond Payable $ 100,000.00 Bond Issue Cost Cash $2,500 $2,500 Bond Interest Expense $ 5,704.96 Discount on Bond Payable $ Cash $ 704.96 5,000.00 Bond Issue Expense Bond Issue Cost $416.67 $416.

67 Amortization is the bond issue personify divided the age it will be amortized Financial education effects of all of the above Balance Sheet Income Statement Cash function decrese in cash Bond Retirement on dec 31 2007 & settle in bond payable win on bond debase back Less forefront financial officer ! cod to buy back voucher Expiration decrease in cash & decrease in e quity decrease in net i ncome referable to coupon pmt Less CFO due to coupon pmt refund of the principal decrese in cash & decrease in bond payable N/A Less CFO due to principal repayment CFO = cash from operating activities Definitions of zero-coupon bonds A zero-coupon bond (also called a discount bond or duncical discount bond) is a bond bought at a expense lower than its face value, with the face value...If you want to get a in full essay, order it on our website: BestEssayCheap.com

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