142. Pizza Pier issues 7%, 10-year bonds with a face amount of $80,000 on January 1, 2012.
The market interest rate for bonds of similar risk and maturity is also 7%. Interest is paid
semiannually on June 30 and December 31.
1. Record the bond issue.
2. Record the first interest payment on June 30, 2012.
143. Pizza Pier issues 7%, 10-year bonds with a face amount of $80,000 for $74,564 on
January 1, 2012. The market interest rate for bonds of similar risk and maturity is 8%. Interest
is paid semiannually on June 30 and December 31.
1. Record the bond issue.
2. Record the first interest payment on June 30, 2012.
144. Pizza Pier issues 7%, 10-year bonds with a face amount of $80,000 for $85,951 on
January 1, 2012. The market interest rate for bonds of similar risk and maturity is 6%. Interest
is paid semiannually on June 30 and December 31.
1. Record the bond issue.
2. Record the first interest payment on June 30, 2012.
145. Presented below is a partial amortization schedule for Discount Foods:
1. Record the bond issue.
2. Record the first interest payment.
146. Presented below is a partial amortization schedule for Premium Foods:
1. Record the bond issue.
2. Record the first interest payment.
147. On January 1, 2012, Ripstick Park issues $800,000 of 8% bonds, due in ten years, with
interest payable semiannually on June 30 and December 31 each year. Assuming the market
interest rate on the issue date is 8%, the bonds will issue at $800,000. Record the bond issue
on January 1, 2012, and the first two semiannual interest payments on June 30, 2012, and
December 31, 2012.
148. On January 1, 2012, Ripstick Park issues $800,000 of 8% bonds, due in ten years, with
interest payable semiannually on June 30 and December 31 each year. Assuming the market
interest rate on the issue date is 9%, the bonds will issue at $747,968.
1. Complete the first three rows of an amortization table.
2. Record the bond issue on January 1, 2012, and the first two semi-annual interest payments
on June 30, 2012, and December 31, 2012.
Answer:
149. On January 1, 2012, Ripstick Park issues $800,000 of 8% bonds, due in ten years, with
interest payable semiannually on June 30 and December 31 each year. Assuming the market
interest rate on the issue date is 7%, the bonds will issue at $856,850.
1. Complete the first three rows of an amortization table.
2. Record the bond issue on January 1, 2012, and the first two semi-annual interest payments
on June 30, 2012, and December 31, 2012.
Answer: