Tarazi Company issued bonds with a coupon rate of 10% and a face amount of $100,000. The bonds mature in 20 years. The market interest rate for bonds with the same degree of riskiness is 6% compounded annually. These bonds were issued on January 1 of Year 1 at a price of $145,880. Coupon payments are made annually on December 31, so the first coupon payment was made on December 31 of Year 1. Tarazi uses the effective-interest method on its books. The journal entry to record the second coupon payment made on December 31 of Year 2 includes a: Debit to Premium on Bonds of $1,322 Debit to Premium on Bonds of $8,678 Debit to Interest Expense of $8,753 Debit to Interest Expense of $10,000 Debit to Premium on Bonds of $1,247 Credit to Discount on Bonds of $1,247

Food, water, and shelter will not attract insects and rodents if recyclables are stored in

Atax on the sellers of coffee will a. increase the price of coffee paid by buyers, increase the effective price of coffee received by sellers, and increase the equilibrium quantity of coffee. b. increase the price of coffee paid by buyers, increase the e ffective price of coffee received by sellers, and decrease the equilibrium quantity of coffee. c. increase the price of coffee paid by buyers, decrease the effective price of coffee received by sellers, and increase the equilibrium quantity of coffee. d. increa se the price of coffee paid by buyers, decrease the effective price of coffee received by sellers, and decrease the equilibrium quantity of coffee.

Bridgeport company began operations at the beginning of 2018. the following information pertains to this company. 1. pretax financial income for 2018 is $115,000. 2. the tax rate enacted for 2018 and future years is 40%. 3. differences between the 2018 income statement and tax return are listed below: (a) warranty expense accrued for financial reporting purposes amounts to $7,500. warranty deductions per the tax return amount to $2,200. (b) gross profit on construction contracts using the percentage-of-completion method per books amounts to $94,700. gross profit on construction contracts for tax purposes amounts to $67,100. (c) depreciation of property, plant, and equipment for financial reporting purposes amounts to $61,800. depreciation of these assets amounts to $75,700 for the tax return. (d) a $3,600 fine paid for violation of pollution laws was deducted in computing pretax financial income. (e) interest revenue recognized on an investment in tax-exempt municipal bonds amounts to $1,500. 4. taxable income is expected for the next few years. (assume (a) is short-term in nature; assume (b) and (c) are long-term in nature.) (a) prepare the reconciliation schedule for 2017 and future years. (b) prepare the journal entry to record income tax expense for 2017. (c) prepare the income tax expense section of the income statement beginning with “income before income taxes.” (d) determine how the deferred taxes will appear on the balance sheet at the end of 2017.