Park corporation is planning to issue bonds with a face value of $2,000,000 and a coupon rate of 10 percent. the bonds mature in 10 years and pay interest semiannually every june 30 and december 31. all of the bonds were sold on january 1 of this year. park uses the effective-interest amortization method and also uses a premium account. assume an annual market rate of interest of 8.5 percent. (fv of $1, pv of $1, fva of $1, and pva of $1)

prepare the journal entry to record the issuance of the bonds
prepare the journal entry to record the interest payment on june 30 of this year.
what bonds payable amount will park report on its june 30 balance sheet?

When slick heating company switched to an activity based costing system, it realized that it was allocating a much lower percentage of factory overhead to a product line that the marketing department was trying to push. the product line may contain which type of products?

Mae jong corp. issues $1,000,000 of 10% bonds payable which may be converted into 10,000 shares of $2 par value ordinary shares. the market rate of interest on similar bonds is 12%. interest is payable annually on december 31, and the bonds were issued for total proceeds of $1,000,000. in accounting for these bonds, mae jong corp. will: (a) first assign a value to the equity component, then determine the liability component. (b) assign no value to the equity component since the conversion privilege is not separable from the bond.(c) first assign a value to the liability component based on the face amount of the bond.(d) use the “with-and-without” method to value the compound instrument.

Uknow what i love about i ask a dumb question it is immediately answered but when i ask a real question it take like an hour to get answered