On February 1, 2009, Costco issued 10%, $1,000,000 bonds for $1,300,000. Costco retired all of these bonds on January 1, 2010, at 103. Unamortized bond premium on that date was $103,000. How much gain or loss should be recognized on this bond retirement?
During the year, Costco paid $27,000 to have bond certificates printed and engraved, paid $160,000 in legal fees, paid $9,000 to a CPA for registration information, and paid $230,000 to an underwriter as a commission. What is the amount of bond issue costs?
On January 31, 2010, Costco issued $900,000 face value, 11% bonds for $900,000 cash. The bonds are dated December 31, 2009, and mature on December 31, 2019. Interest will be paid semiannually on June 30 and December 31. What amount of accrued interest payable should B report in its September 30, 2010, balance sheet?
On January 1, 2010, an Joe paid $296,000 for bonds with a face amount of $330,000. The stated rate of interest is 12% while the current market rate of interest is 14%. Using the effective interest method, how much interest income is recognized by Joe in 2010 (assume annual interest payments and amortization)?
On January 1, 2010, Costco issued $250,000 of 8% ten-year bonds. Interest is payable semiannually on June 30 and December 31. The bonds were sold for $218,844, priced to yield 10%. Costco records interest at the effective rate. Costco should report bond interest expense for the six months ended June 30, 2010, in the amount of (Round your answer to the nearest dollar amount):
