View the step-by-step solution to:

Can you please help me with these 4 questions below please?

Can you please help me with these 4 questions below please?

1. On January 1, 2017, Ellis Enterprises issues $600,000 of 8% bonds, due in 10 years, with interest payable semiannually on June 30th and December 31st each year. Market interest rate for similar bonds is 10%. Determine the selling (issue) price of the bonds:

2. Cass Company loaned $66,116 to Westinghouse, Inc, accepting Westinghouse's 2-year, $80,000, zero-interest-bearing note. The implied interest rate is 10%. Prepare Cass's journal entries for the initial transaction, recognition of interest each year, and the collection of $80,000 at maturity:

3.  On December 31, 2017, Innovations Company rendered services in exchange for a 3-year, 5%, promissory note with a face value of $800,000 with interest received annually. The client has credit ratings that require him to borrow money at 10% interest.


(a)Determine the present value of the note.

(b) Create a Schedule of Note Discount Amortization(Amortization table) for Innovations Company under the effective interest method.

















4.Bank Reconciliation

·        On September  31, 2018, Elon's Company's general ledger shows a checking account balance of $8,397. The company's cash receipts for the month total $74,320, of which $71,295 has been deposited in the bank. In addition, the company has written checks for $72,467, of which $70,982 has been processed by the bank.

The bank statement reveals an ending balance of $11,727 and includes the following items not yet recorded by Elon: bank service fees of $150, note receivable collected by bank of $5,000, and interest earned on the account balance plus from the note of $320. After closer inspection, Elon realizes that the bank incorrectly charged the company's account $300 for an automatic withdrawal that should have been charged to another customer's account. The bank agrees to the error.




Create a bank reconciliation to calculate the correct ending balance of cash on September 31, 2018.




Record the necessary journal entries to adjust the balance for cash.


Recently Asked Questions

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.


Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question