Week5 - HARRISON/HORNGREN, FINANCIAL ACCOUNTING 6E Exercise...

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HARRISON/HORNGREN, FINANCIAL ACCOUNTING 6E Exercise 8-12 Name Mahanaim Peterson Section E A B C D E F G H 5 Data Input Section: 6 Dollar General Stores, Inc. 7 Face value of bonds (maturity value) $400,000 8 Carrying value of bonds 372,660 9 Contract (authorized) interest rate 7% 10 Market interest rate at time of issue 8% 11 Semiannual interest paid 160,000 12 Bond discount at time of issue $27,340 13 Life of bonds 10 14 Output Section: 15 Part 1. 16 Amortization Table 17 18 Semiannual Discount Bond 19 Interest Interest Interest Discount Account Carrying 20 Date Payment Expense Amortization Balance Amount 21 Dec. 31, 20X6 $27,340 $372,660 22 June 30, 20X7 $160,000 $14,906 $(145,094) 172,434 227,566 23 Dec. 31, 20X7 160,000 9,103 (150,897) 323,331 76,669 24 June 30, 20X8 160,000 3,067 (156,933) 480,264 (80,264) 25 Dec. 31, 20X8 160,000 (3,211) (163,211) 643,475 (243,475) 26 27 Part 2. Debit Credit 28 Dec. 31, 20X6 29 Cash 372,660 30 Discount on bonds payable 27,340 31 Bonds payable 400,000 32 33 June 30, 20X7 34 Interest expense 187,340 35 Cash 160,000 36 Discount on bonds payable 27,340 37 38 Dec. 31, 20X7 39 Interest expense 400,000 40 Cash 372,660 41 Discount on bonds payable 27,340 42 43 44 End of Problem
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Exercise 8-13 Name Mahanaim Peterson Section E A B C D E F G H
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This lab report was uploaded on 02/19/2008 for the course ACCT 212 taught by Professor Forgot during the Spring '07 term at DeVry Houston.

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Week5 - HARRISON/HORNGREN, FINANCIAL ACCOUNTING 6E Exercise...

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