accouting hw questionwp4

Indicate whether the bonds were issued at a premium or a discount?

Is the amortization schedule based on the straight-line method or the effective interest method?

Determine the stated interest rate and the effective interest rate.

Stated Rate

%

Effective Rate

%

On the basis of the schedule above, prepare the journal entry to record the issuance of the bonds on January 1, 2006.
(List multiple debit/credit entries from largest to smallest amount, e.g. 10, 5, 2.)

Date

Description/Account

Debit

Credit

01/01/06

On the basis of the schedule above, prepare the journal entry or entries to reflect the bond transactions and accruals for 2006. (Interest is paid January 1.)
(List multiple debit/credit entries from largest to smallest amount, e.g. 10, 5, 2.)

Date

Description/Account

Debit

Credit

12/31/06

On the basis of the schedule above, prepare the journal entry or entries to reflect the bond transactions and accruals for 2013. Capulet Corporation does not use reversing entries.
(List multiple debit/credit entries from largest to smallest amount, e.g. 10, 5, 2.)

Date

Description/Account

Debit

Credit

01/01/13

12/31/13