Solved

On January 1,2013,Jacob Issues $800,000 of 9%,13-Year Bonds at a Price

Question 164

Multiple Choice

On January 1,2013,Jacob issues $800,000 of 9%,13-year bonds at a price of 96½.Six years later,on January 1,2019,Jacob retires 20% of these bonds by buying them on the open market at 105½.All semiannual interest is accounted for and paid through December 31,2018,the day before the purchase.The straight-line method is used to amortize any bond discount or premium.What is the journal entry to record the retirement of 20% of the bonds on January 1,2019?


A) On January 1,2013,Jacob issues $800,000 of 9%,13-year bonds at a price of 96½.Six years later,on January 1,2019,Jacob retires 20% of these bonds by buying them on the open market at 105½.All semiannual interest is accounted for and paid through December 31,2018,the day before the purchase.The straight-line method is used to amortize any bond discount or premium.What is the journal entry to record the retirement of 20% of the bonds on January 1,2019? A) B) C) D) E)
B) On January 1,2013,Jacob issues $800,000 of 9%,13-year bonds at a price of 96½.Six years later,on January 1,2019,Jacob retires 20% of these bonds by buying them on the open market at 105½.All semiannual interest is accounted for and paid through December 31,2018,the day before the purchase.The straight-line method is used to amortize any bond discount or premium.What is the journal entry to record the retirement of 20% of the bonds on January 1,2019? A) B) C) D) E)
C) On January 1,2013,Jacob issues $800,000 of 9%,13-year bonds at a price of 96½.Six years later,on January 1,2019,Jacob retires 20% of these bonds by buying them on the open market at 105½.All semiannual interest is accounted for and paid through December 31,2018,the day before the purchase.The straight-line method is used to amortize any bond discount or premium.What is the journal entry to record the retirement of 20% of the bonds on January 1,2019? A) B) C) D) E)
D) On January 1,2013,Jacob issues $800,000 of 9%,13-year bonds at a price of 96½.Six years later,on January 1,2019,Jacob retires 20% of these bonds by buying them on the open market at 105½.All semiannual interest is accounted for and paid through December 31,2018,the day before the purchase.The straight-line method is used to amortize any bond discount or premium.What is the journal entry to record the retirement of 20% of the bonds on January 1,2019? A) B) C) D) E)
E) On January 1,2013,Jacob issues $800,000 of 9%,13-year bonds at a price of 96½.Six years later,on January 1,2019,Jacob retires 20% of these bonds by buying them on the open market at 105½.All semiannual interest is accounted for and paid through December 31,2018,the day before the purchase.The straight-line method is used to amortize any bond discount or premium.What is the journal entry to record the retirement of 20% of the bonds on January 1,2019? A) B) C) D) E)

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q160: Bonds with a par value of less

Q160: An _ is an obligation requiring a

Q161: Using the debt to equity ratio,which of

Q162: The carrying value of a long-term note

Q163: Bonds that give the issuer an option

Q165: On January 1,2013,$1,200,000,5-year,bonds with a stated rate

Q167: A company issues bonds at par on

Q168: Shin Company has a loan agreement that

Q169: If an issuer sells a bond at

Q227: Return on equity increases when the expected