PowerPoint Presentation
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LONG-TERM LIABILITIES
BOND BASICS
WHY ISSUE BONDS?
DISADVANTAGES OF BONDS
TYPES OF BONDS SECURED AND UNSECURED
TYPES OF BONDS TERM AND SERIAL BONDS
TYPES OF BONDS REGISTERED AND BEARER
TYPES OF BONDS CONVERTIBLE, REDEEMABLE, AND RETRACTABLE
ISSUING PROCEDURES
DETERMINING THE MARKET VALUE OF BONDS
TIME DIAGRAM DEPICTING CASH FLOWS
ILLUSTRATION 16-6 CALCULATING THE PRESENT VALUE OF BONDS
ACCOUNTING FOR BOND ISSUES
ISSUING BONDS AT FACE VALUE
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DISCOUNT OR PREMIUM ON BONDS
ILLUSTRATION 16-7 INTEREST RATES AND BOND PRICES
ISSUING BONDS AT A DISCOUNT
STATEMENT PRESENTATION OF BOND DISCOUNT
STRAIGHT-LINE METHOD OF BOND DISCOUNT AMORTIZATION
FORMULA FOR STRAIGHT-LINE METHOD OF BOND DISCOUNT AMORTIZATION
Bond Discount Amortization Entries
EFFECTIVE INTEREST METHOD OF AMORTIZATION
EFFECTIVE INTEREST METHOD OF AMORTIZATION
BOND DISCOUNT AMORTIZATION ENTRIES
ISSUING BONDS AT A PREMIUM
STATEMENT PRESENTATION OF BONDS PREMIUM
BOND PREMIUM AMORTIZATION ENTRIES
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ISSUING BONDS BETWEEN INTEREST DATES
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REDEEMING BONDS AT MATURITY
BOND RETIREMENTS
ACCOUNTING FOR OTHER LONG-TERM LIABILITIES
MORTGAGE NOTES PAAYBLE
ILLUSTRATION 16-21 INSTALMENT PAYMENT SCHEDULE FIXED PRINCIPAL PAYMENT
ILLUSTRATION 16-22 INSTALMENT PAYMENT SCHEDULE BLENDED PAYMENT
LEASE LIABILITIES OPERATING LEASE
LEASE LIABILITIES CAPITAL LEASES
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CAPITAL LEASE ENTRIES
DEBT TO TOTAL ASSETS
INTEREST COVERAGE RATIO
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