[deannauop]

How do I extend balances to the financial statement columns

[Just Looking]

From your question, it sounds like you are working with a 10-column trial balance. The first two columns are debit and credit balances of all accounts. The next two are debits and credits from adjusting entries. The next two are debits and credits for your adjusted trial balance. Finally, the next two are the Income Statement debits and credits, and the final two are the Balance Sheet debits and credits. Income, Expense, and Gain/Loss accounts are extended to the Income Statement. At the bottom of these columns, you will have an entry for the net income (loss) that will be used to balance your columns. Assets, Liabilities and Equity accounts are extended to the Balance Sheet, as well as the net income (loss) as shown on the Income Statement columns. If you need to see an example, try Googling "example of 10 column trial balance".

[netinamoemoe]

Is it ethical to time the repurchase of bonds in 2012 in order to include a $2 million gain on repurchase in a bad year? What if the transaction is fully disclosed?

[netinamoemoe]

he Tony Hawk Skate Park was built in early 2010. The construction was financed by $10 million of 5% bonds issued at face value, due in 10 years, with interest payable on June 30 and December 31 each year. The park did well initially, reporting net income in both 2010 and 2011. However, the discussion at the executive board meeting in late 2012 focused on falling skate-park revenues and increasing maintenance expenses. While several ideas were proposed, Jim Trost, the VP of finance, had an intriguing short-term solution. Jim stated, “Interest rates have steadily climbed the past three years. At the current market interest rate of 9%, we could repurchase our bonds for just under $8 million, recording a gain of over $2 million on the repurchase. We could then reissue new bonds at the current 9% rate.”


1.Calculate the actual repurchase price on December 31, 2012, assuming the 10-year, 5% bonds paying interest semiannually were initially issued at a face value of $10 million three years earlier on January 1, 2010. (Hint: The periods to maturity (n) will now be 14, calculated as 7 years remaining times 2 periods each year.)

[netinamoemoe]

From your question, it sounds like you are working with a 10-column trial balance. The first two columns are debit and credit balances of all accounts. The next two are debits and credits from adjusting entries. The next two are debits and credits for your adjusted trial balance. Finally, the next two are the Income Statement debits and credits, and the final two are the Balance Sheet debits and credits. Income, Expense, and Gain/Loss accounts are extended to the Income Statement. At the bottom of these columns, you will have an entry for the net income (loss) that will be used to balance your columns. Assets, Liabilities and Equity accounts are extended to the Balance Sheet, as well as the net income (loss) as shown on the Income Statement columns. If you need to see an example, try Googling "example of 10 column trial balance".

Welll I post up the whole part of the question can you help me with the first one