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3. What bonds payable amount will Claire report on this year's December 31 balance sheet? Note: Round your final answer to nearest whole dollar amount.

3. What bonds payable amount will Claire report on this year's December 31 balance sheet? Note: Round your final answer to nearest whole dollar amount.

Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter9: Long-term Liabilities
Section: Chapter Questions
Problem 15MCQ
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! Required information [The following information applies to the questions displayed below.] Claire Corporation is planning to issue bonds with a face value of $110,000 and a coupon rate of 6 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 8 percent. ( FV of $1, PV of $1, FVA of $1, and PVA of $1) Note: Use appropriate factor(s) from the tables provided. 3. What bonds payable amount will Claire report on this year's December 31 balance sheet? Note: Round your final answer to nearest whole dollar amount. Long-term liabilities Bond discount Bonds payable Answer is complete but not entirely correct. CLAIRE CORPORATION Balance Sheet (Partial) At December 31 $ $ 498 X 107,407 X $ 109,555
Transcribed Image Text:! Required information [The following information applies to the questions displayed below.] Claire Corporation is planning to issue bonds with a face value of $110,000 and a coupon rate of 6 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 8 percent. ( FV of $1, PV of $1, FVA of $1, and PVA of $1) Note: Use appropriate factor(s) from the tables provided. 3. What bonds payable amount will Claire report on this year's December 31 balance sheet? Note: Round your final answer to nearest whole dollar amount. Long-term liabilities Bond discount Bonds payable Answer is complete but not entirely correct. CLAIRE CORPORATION Balance Sheet (Partial) At December 31 $ $ 498 X 107,407 X $ 109,555
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why is the bonds payable wrong?

! Required information [The following information applies to the questions displayed below.] Claire Corporation is planning to issue bonds with a face value of $110,000 and a coupon rate of 6 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 8 percent. ( FV of $1, PV of $1, FVA of $1, and PVA of $1) Note: Use appropriate factor(s) from the tables provided. 3. What bonds payable amount will Claire report on this year's December 31 balance sheet? Note: Round your final answer to nearest whole dollar amount. Long-term liabilities Bond discount Bonds payable Answer is complete but not entirely correct. CLAIRE CORPORATION Balance Sheet (Partial) At December 31 $ $ 2,094 107,906 X Return to question $ 107,905
Transcribed Image Text:! Required information [The following information applies to the questions displayed below.] Claire Corporation is planning to issue bonds with a face value of $110,000 and a coupon rate of 6 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 8 percent. ( FV of $1, PV of $1, FVA of $1, and PVA of $1) Note: Use appropriate factor(s) from the tables provided. 3. What bonds payable amount will Claire report on this year's December 31 balance sheet? Note: Round your final answer to nearest whole dollar amount. Long-term liabilities Bond discount Bonds payable Answer is complete but not entirely correct. CLAIRE CORPORATION Balance Sheet (Partial) At December 31 $ $ 2,094 107,906 X Return to question $ 107,905
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