show the required journal malty show the journal entry 590415

Aug 29, 2021 | Uncategorized

In 1911 In atm tan?411 MR phew • prolonot none to Portland °ream,. M “‘”” ‘00,1 elert1MOM .111101] Within three ‘wan. g Imeloiryd a proprietary healthy are prod:xi. and his consulting Ilrm mei Chang MOAK al Enu IMMO (CRIE, Nish, An son nor daughter was nn•+ruo”I in “””kuitt firm so 10 Or (‘hang agreed Io sell (‘ME to LaSalle Camtal n ornate equity gnaw In %a (:appal prop. ne/I ,lair. CME try paying OAF. 110 million kw 1,000,000 “wlY ,,,,, I ‘motion shares at 110 per sham and 310 million for manclatortly o’deeinable gmbirted sow k that paid a lot cumulative annual dividend. CUE watt(‘ then sell ak?og $140 million .3 licinds to financial instutaions through RIMIIM Ititernaloonal Coast investment bank The $48, mill,,,,, investneent horn LaSalle Calmat, pfin Ito $110 1111ihfKi irl411 WWI), Issued debt. would be used to buy Dr Chang •• I 821 000 share. or common Mork for $102 per share ($146.150.000). Boa acne CME swelkt hove adequate cash alter the transaction closed, LaSalle CaPital was 611,1.41e …tied about the exact sae of the del* more 41 May I. 2044, hlo. year Treasuries yielded AAAirated five year corporate bond. yielded 17x • and Km Ina year corporate bonds yiekled 6,03%. John Tilden. tlw LASAIW• panzer IIN11.1/MM the Calf: acquisttion. hoped to pay no more than 7.5%. S111:01140141. IN’ Rainier Internmonal banker managing Medeal. belie ed the market yield to maturity would be between A. Ill. and A 51. kg a small issue horn a highly 1.m•rnfp,1 twin depen?otig on the terms “I pot together three pro?nah !Exhibit IL’ Ms Hupp said. •1A) is a simyeat 8.5% bond. I IR) n a se scar AY. braid. (IC) is a miaryear rcroicOupon bond. Your yield to runt ur .4?,114 he about 4 11k with the 8 Si. bond, 8231, with the 8% bond. and Is 11 a. wall the 7,1.04 0111,00 bond. I rOunded each issue to the ware!’ 35 million SO th?• arnt,u Os you recent UMMY ear h issine Mkt slightly.” Required I. For each proposed issue. prepare journal entries to record the initial bond sale and the tioember 30. 2008. interest payment. Z Explain why the net bond payable change% with each interest payment. For example, explain why the net bond payable lot the zero coupon bond increases front 5137252261 to $143.023822 between May 31.2008, and Ninember 30.2008. Why are there different interest rates on the different bonds. even though they Mature on the same date? Explain in detail. 4 II LaSalle needed to raise about 5200 million, approximately how many 31,000 zero coupon bunds nook) it issue’ 5 Suwrse CME issued $140 millirm of 8% coupon bonds on May 31.2008, toe S138.49%7.16. as in Exhibit 1(13). Also suppose that on May 31, 2010. immediately after it paid the $5.6 million interest payment. ClAE reacquired the entire bond issue km 5141275,000. Show the required journal malty. Show the journal entry if (‘ME instead re•arquired the entire bond issue kit 5137250000.