会计学第十二章.ppt

Chapter 12 Long-Term Liabilities Procedural Learning Objectives P1: Bond issuance bond interest expense. P2: Amortization of bond discount. P3: Amortization of bond premium. P4: Retirement（赎回）of bonds. P5: Account for long-term notes payable. Bond Financing A bond is the issuer’s written promise to pay an amount identified as the par value of the bond with interest. Par value: face amount, face value Maturity date: a specified future date the issuer repays to bondholders Systematic interest payments: par value multiplying contract rate of interest Advantages of Bonds Disadvantages of Bonds Bond Trading Marketable securities readily bought and sold ——有价证券 Usual denominations: $1,000 or $5,000 面额 Market value/price: exchanged in the market ——expressed as a percent of par value Trading at 103 ? , 103.5% of par value Trading at 95, 95% of par value Bond Issuing Procedures Basics of Bonds Issuing Bonds at Par King Co. issues the bonds on January 1, 2009 Par Value = $1,000,000 Stated Interest Rate = 10% Interest Dates = 6/30 and 12/31 Bond Date = Jan. 1, 2009 Maturity Date = Dec. 31, 2028 (20 years) Interest Expense on Bonds at Par Bonds Retirement at Maturity Bond Discount or Premium——折价或溢价发行 Issuing Bonds at a Discount Issuing Bonds at a Discount Issuing Bonds at a Discount Issuing Bonds at a Discount Issuing Bonds at a Discount Straight-Line and Effective Interest Methods Issuing Bonds at a Premium Prepare the entry for Jan. 1, 2009, to record the following bond issued by Rose Co. Par Value = $1,000,000Issue Price = 108.1145% of par valueStated Interest Rate = 10%Market Interest Rate = 8%Interest Dates = 6/30 and 12/31Bond Date = Jan. 1, 2009 Maturity Date = Dec. 31, 2013 (5 years) Issuing Bonds at a Premium Issuing Bonds at a Premium Issuing Bonds at a Premium Issuing Bonds at a Premium Accruing Bond Interest Expense Bond Retirement At Maturity Before Maturity Carrying Value Retirement Price = Gain Carrying Value Retirement Price = Lo