The premium on bonds payable account is a n
WebbThe Premium on Bonds Payable account is a (n): A. Revenue account. B. Adjunct-revenue account. C. Contra revenue account. D. Contra liability account. E. Adjunct-liability … Webb31 dec. 2024 · Accounts payable 1,900, Bonds payable 3,400, Premium on bonds payable 200, Defered tax liability 400, Dividends payable 500, Income tax payable 900, Note payable, due January 31, 2024 600, The deferred tax liability is based on temporary differences that will reverse in 2024.
The premium on bonds payable account is a n
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WebbAnalyzing, journalizing, and reporting bond transactions. Johnny’s Hamburgers issued 8%, 10-year bonds payable at 85 on December 31, 2024. At December 31, 2024, Johnny reported the bonds payable as follows: Long-term Liabilities: Bonds Payable $ 300,000. Less: Discount on Bonds Payable (36,000) $ 264,000 Webbpremium on bonds payable definition A liability account with a credit balance associated with bonds payable that were issued at more than the face value or maturity value of the …
WebbThe Premium on Bonds Payable account is a (n): Adjunct liability account. Equity account. Revenue account. Contra asset account. Contra revenue account. This problem has … Webb100% (2 ratings) The Discount on bonds payable account is A Contra Liability accoumt A contra liabilit … View the full answer Transcribed image text: 20. The Discount on Bonds Payable account is: A) A liability B) A contra liability. C) An expense. D) A contra expense. E) A contra equity. Previous question Next question
Webb20 juli 2024 · The Premium on Bonds Payable account is "the amount by which bonds are issued in excess of their face value." What are bonds payable? When a firm issues …
WebbLike the Premium on Bonds Payable account, the discount on bonds payable account is a contra liability account and is “married” to the Bonds Payable account on the balance sheet. The Discount will disappear over time as it is amortized, but it will increase the interest expense, which we will see in subsequent journal entries.
WebbOnce the first journal entry is prepared for the premium on bonds payable it can just be repeated each period until maturity. The simple formula to be used is: Bond Premium / … green bicycle with basketWebbThe Premium on Bonds Payable account is a (n): Multiple Choice Revenue account. Adjunct liability account. Contra revenue account. O Contra asset account. Equity account. This problem has been solved! You'll get a detailed solution from a subject matter expert that helps you learn core concepts. See Answer flowers nutley njWebbQuestion: The premium on bonds payable account is a (n) 1. Revenue account 2. Adjunct liability account 3. Contra revenue account 4. Contra asset account . Equity account. The … flowers oaklandWebb(Conversion of Bonds) Vargo Company has bonds payable outstanding in the amount of $500,000, and the Premium on Bonds Payable account has a balance of $7,500. Each $1,000 bond is convertible into 20 shares of preferred stock of par value of $50 per share. All bonds are converted into preferred stock. Instructions flowers oadbyWebbThe premium on bonds payable account is shown on the statement of financial position as a.a contra asset. b.a subtraction from a long-term liability. c.an addition to a long-term … flowers nyc midtownWebbQ: he amortization of premium on bonds payable will _____________ the net income. A: Net Income:- Net income is also considered as the net earnings and net profit of the business that…. Q: The amortization on a bond premium: A: The amortization on a bond premium: (d) Is calculated by multiplying the bond’s carrying value by…. flowers oakdale laWebbBonds are sold at a premium if the: issuing company has a better reputation than other companies in the same business. market rate of interest was less than the stated rate at … green bicycle compost tea