Wedding Day

Wedding Day Every little girl dreams about her wedding day. I was no different. An Indian marriage is performed with great funfair. All people whether rich or poor want it to be a memorable occasion. My wedding day was the most joyous day of my life. Since then, I have learned that such moments do not happen all the time. It is important to enjoy them. My wedding day was fulfilled with many emotional including happiness, sadness, fear, and excitement. My wedding has been the most blissful time of my life. However, it seemed to be a complete blur.It all happened very quickly from the moment I was engaged to the moment we walked around the sacred circle on my wedding day. The wedding was put together in only ten days. I spent those ten days with my fiance and my future in-laws getting to know each other. We spent time visiting temples and shopping in preparation for the wedding. We shopped matching wedding dress. Our wedding dress was red and white color. I also spent much of that time with my family and many relatives from out of the town. I met so many people.There were over 2000 people that attend our two day wedding ceremonies. Almost everyone from our families to our friends helped celebrate. On that day I was very nervous to go front of my fiance but inside of my heart, I was very happy. I was going to start my new life. Not only were many of dreams coming true, but also I was fulfilling my father’s hopes. He also wished that I settle in the United States for a better life. I will always remember the joy in my father’s eyes that day. While I was having the time of my life, a part of me was both sad and fearful.I was disappointed my older brother was unable to attend the biggest day of my life. He was living abroad and could not make the trip back because of immigration issues. I was also sad because I realized that I would need to leave for the US. I had always lived in our small village for my entire life. It meant that I was leaving my life behind. I had to leave my family, friends, and relatives. It was very difficult for me to pack up my life into two suitcases. I didn’t even know when I will come and see my family and friends again.I was also a bit scared to start my new life with my husband. I had only known him for a short time and his family members. With anything new, there is always fear of the unknown. Everything I knew was about to change. For example, new family members, new roles as wife, language, life-style and also new country. I even had to learn about the new culture. I didn’t cried much when I was leaving my family and friends on my wedding night than I cried when the final day came to going the airport and coming in the United States. I had cried a bunch when I left my country.On the other side, I was very excited about coming to the United States. It would be a beginning of new chapter of my life. Before coming into the United States, I had only seen how life would be on TV. I am very thankful to my parent. They are the one who think about my better future in the United States. I couldn’t wait to see all the amazing things United States is famous for like the statue of liberty, space center, and Disney world. I was very thrilled about meeting new people, making new friends, and trying new food. I was also anxious to start my married life. I wanted to be a perfect wife.I look forward to taking care of my husband and his family such as cooking, cleaning, and also help with some other works. I was very excited to meet his all friends and family friends. My wedding day was everything that had dreamed up. I went through many emotions such as happiness, sadness, and excitement. I have learned not to fear the unknown. Instead, I should embrace new opportunities. I continue to believe that things always come out for the best. I feel very bless for life. For my better life, I am thankful to my parent. In the end, it has been a most memorable and life changing event of my life.

Enron Corporation Essay

I  Ã‚   The Beginning When Enron Corporation declared a Chapter 11 bankruptcy in December 2001, it left the public especially its investors and stockholders reeling from such financial scandal and collapse.   Enron had allegedly overstated its profits by $586 million since 1997 in order to protect the firm’s balance sheet and practiced insider trading as well fraud and conspiracy. Enron had been the seventh largest company in the United States and had been one of the largest financial contributors to the Presidential elections, especially the Bush family. To the outside world, Enron portrayed a picture of success.   However, upon closure inspection on the inside, Enron was on the brink of collapse. When Enron’s stock price hit its highest at $90, the executives who allegedly knew of the offshore accounts of Enron started selling their respective shares and to encouraged the public to continue buying the said stocks.   However, the executives knew that the stock prices would not increase anymore but still reassured the public and its investors that the prices of stock would reach a high $130-140 per share. By August 2001, Enron’s stock prices had dropped from $90 to a measly $42. It became evident that the company had fraudulently induced and fooled the public, investors and stockholders to buying the company’s stocks and shares. Amidst all these, Enron founder and former chairman Kenneth Lay continued to reassure the public to remain calm, and asked the investors to buy the company’s shares as the company will regain its profits in the succeeding months. Nonetheless, in October of 2001, the stocks plunged to $15 but the investors saw this as an opportunity to buy Enron stocks at such low prices. But the truth about the company’s financial standing became public and the stock price finally hit rock bottom at $1 per share. II   Basis of the Charges Stockholders and investors gathered and instituted a class-action suit against Enron and its officers in order to recover the millions of investment they made on Enron as result of the false representation and fraud by the company. Enron top executives specifically its Chief Executive Officers, Kenneth Lay and Jeffrey Skilling were charged and convicted with the collapse of the energy giant. Kenneth Lay faced seven counts of fraud and conspiracy while Skilling faced 31 counts of fraud, conspiracy, insider trading and lying to auditors about Enron’s financial position. In 1987, Enron auditors found out a billion-dollar oil trading scandal in its New York offices.   Traders had been engaged in this kind of practice – falsifying transactions in order to boost their volume and profit thereby fattening their bonuses as well. Although CEO Kenneth Lay knew of this, he did not fire the traders nor contacted the authorities in order to cover up their problems. But this incident did not deter the traders and six months later, competitors began to grow suspicious because if word got out, Enron’s trading partners could have demanded that the company cover its positions with cash, which the company did not have (Fowler).   Thus, the traders were fired and charged but not until they were able to transfer million of dollars into their personal accounts.   Enron for its part was able to get away by bluffing the market and reported $85 million in loss but sources claim that the loss totalled to at least $135 million. CEO Jeffrey Skilling, who joined Enron in 1990, did not care much about the expenses incurred by the company as long as the margins looked good.   He was also more concerned with the revenues increases and widening profit margins instead of the cash flows which was practiced by his predecessor. So enamoured were the top executives in increasing business profit that when a deal failed or fell apart, more effort was placed into hiding the consequences instead of rectifying and owning up to the problem.   After taking over as chief operating officer, he renewed the almost non-existent post of chief financial officer and delegated many of the management responsibilities. In theory, Enron had mechanisms that would assess risk and accurately report financial numbers. These mechanisms required that deals should be strictly analyzed which included review by the legal department of the originating unit, the corporate legal department, chief risk officer and chief accounting officer.   However, due to the insidious practice of the company, auditors and accountants were bullied to over ride the system and departments were able to determine the total value of their proposals by manipulating the long-term price of whatever product was sold or bought.   The company also used a â€Å"mark-to-market† accounting system pushed by Skilling which allows a company to report as current revenue the total value of a deal over its projected lifetime (Fowler). This system made earning appear good which in turn pumped up the stock prices and increased the value of stocks which executives received as bonuses. III Trial As the stunned investors witnessed Enron’s stock prices plunged, the government began a massive crackdown on the executives who were responsible for the collapse of the company, and would end up in the conclusion of convincing and proving to the jury that Lay and Skilling, the two top executives of the company, where guilty of massive fraud and were thus guilty. Government prosecutors were at first overwhelmed with the girth of the corporate fraud.   Nevertheless, they began to take measures to respond to these kinds of crimes and a barrage of criminal and civil investigations and prosecutions began to surface.   Thus, in 2002, the Presidential Corporate Fraud Task Force filed criminal charges against more than 900 defendants, of which 60 are chief executive or president level and successfully prosecuted or convicted 500 of them. The case against Lay and Skilling were heard by US District Judge Sim Lake and lasted nearly four months while the jury deliberated for six days.   The defense counsel initially attempted to persuade the judge to move the trial away from Houston, Enron’s hometown as they were afraid that the jury might be influenced by anger due to the resulting loss of jobs and money and would see them as a way of revenge. Kenneth Lay faced seven counts of fraud and conspiracy fraud and conspiracy while Skilling on the other hand, faced 31 counts of fraud, conspiracy, insider trading and lying to auditors about Enron’s financial position.   Although both asserted their innocence of the charges against them, they were convicted for a total of 29 criminal counts as well as conspiracy to hide the failing health of the company by selling boosterich optimism to Wall Street and the public (MSNBC). Lay, who was convicted to 6 counts of conspiracy, securities and wire fraud in the corporate trial and 4 counts on separate personal banking trial, surrendered his passport and posted a $5 million bond secured by the family.   His sentence also carried a maximum penalty of 45 years in prison for the corporate trial while 120 years in personal trial respectively.   Ã‚  Skilling on the other hand, was convicted by 19 counts out of the 28 charged as well as one count of insider trading while being acquitted with the remaining charges. The charges against   these Enron top executives prospered as other executives turned the table and plead guilty in their respective charges in order to receive lower sentences than that prescribed.   Among the former employees who testified against Lay and Skilling was Ben Glisan who is now serving a 5-year prison sentence after pleading guilty to a charge of conspiracy.   According to Glisan, both Lay and Skilling knew that the company was in deep financial trouble but tried to hide it instead. Ultimately, the jury rejected Skilling’s defense that no fraud happened at Enron save for those committed by a number of executives skimming millions in secret side deals, while bad publicity and poor market confidence resulted in the collapse of the energy giant. III. Effects of the Enron Collapse As the jurors found that these once-wealthy and powerful executives repeatedly lied to cover up the real position of the company by covering up accounting and auditing failures which eventually led to its collapse in 2001, the left a devastating effect in the business world as well as the lives of the investors and shareholders.   The demise of Enron wiped out more than $60 billion in market value, almost $2.1 billion in retirement savings and costs more than 5,600 to lose their jobs. The anger of the public over the recent corporate scandals led to the passing of the Sarbanes-Oxley Act, which was designed to make company executives more accountable. Although public distrust for white-collar trial could not actually reverse the damage done to investor confidence, the Lay and Skilling trial however has become a start of a healing process for public-investor relations to be righted again. IV Timothy Belden    Apart from the other key witnesses who were former Enron employees and who testified against the top two Enron officials, Timothy Belden particularly made the charges against Lay and Skilling stick, ending in their conviction.   Belden who was the first person to be charged in the manipulation of Western Energy markets, initially engaged in lengthy dance with federal officials over his plea and eventual cooperation in testifying against Lay and Skilling.   He pleaded guilty in 2002 to conspiracy and admitted that he gave false information to California’s electrical grid operators.   Belden is also said to be the â€Å"mastermind behind the strategies described† in memos that spelled out how Enron manipulated the California market (Schreiber). Beginning in the mid-nineties, California was among the first states to deregulate electricity.   The deregulation occurred just as when companies were leaving the state in numbers thereby creating a recession. The deregulation was supposed to reduce the ten percent of the tax payers’ bill while breaking the old methods of greedy companies.   As California deregulated the wholesale side of its energy markets, it also kept price caps in the retail side. It coincided with the State’s decision to bar utilities from signing long-term cheap fixed prices which forced them to into an unpredictable market.   Thus, the utilities were made to pay exorbitant prices but were not able to pass on to their consumers the prices they incurred.   Enron promised to deliver power more efficiently and build new plants that can run on cheaper fuels. Commencing in 1998 until 2001, Belden as well as other executives from Enron devised a fraudulent scheme in order to obtain increased revenue for Enron from wholesale electricity consumers and other market participants in the State of California. The schemes perpetrated by Belden and the other Enron executives required them to submit false information to the companies supplied by Enron and misrepresented the nature of electricity which the company was supposed to supply. Despite being paid to relieve congestion, the company however, did not do so and instead imported as well as exported electricity in order to receive higher prices from the companies they supply. Of particular interest in the course of the trial is a transcript of conversation between Belden and one of the operators of the power plant wherein the two discussed shutting down one of Reliant’s power plants in California to create a shortage in order for the prices to skyrocket. As the scheme worked, causing the power prices to arrive at high and unjust levels in California, it thereby became illegal under the Federal Energy Policy Act. In his testimony, he called California’s post-deregulation power market dysfunctional and said his company bought cheap electricity in the Northwest to sell in California at a profit (Baker). This practice created the appearance among consumers that there was shortage of electricity, thereby having the need to jack up the prices. Enron was able to pocket off almost $1 billion in a period of nine months in 2000 and 2001. Belden admitted however, that he only met with Lay and Skilling once during a colleague’s party.   But nevertheless, Belden’s testimony proved to be a very crucial one as it confirmed and proved that Lay and Skilling knew of what was happening in California but turned to hide it instead. As company vice-president and head of Enron’s West Coast trading operation, Belden supervised a staff of 120 that went from $50 million in earnings in 1999 to $800 million in 2001, while California’s power markets disintegrated into panic and sky-high prices. When one of Enron’s lawyers started investigating these â€Å"irregularities† as a response to the investigation conducted by the California Public Utility Commission. The lawyers found out of Enron’s tactic of using advantage of the energy crisis and revealed through a memo that Enron created false congestion lines, transferred energy in and out of state to avoid price caps and charged for services the company never actually provided (Swartz).   And yet, inspite of the information the lawyer gave to the top executives, and traders have been told to return the money made on improper trading, the executives at Enron still decided against it despite knowing that the practice was illegal.   For Belden and the other traders, sending the money back would mean that the other companies will know what Enron was doing.   Nevertheless, Belden and Enron continued on with the practice.   Skilling, on the other hand, fully knew well of the said practice by the company in 2001 as he was already tipped by one of the executives who learned of the previous investigation. During examination, Belden admitted to US District Judge Martin Jenkins that he did it because he was trying to maximize profit for Enron. Belden claimed that he was only following Enron’s instructions as he handled his trades (CBS News).   According to Belden’s counsel, Enron knew fully well of Belden’s action but was never disciplined nor sanctioned at all. In fact, Belden may have reaped bonus for such practice as revenues from his trading unit climbed from $50 million in 1999 to $500 million in 2000 to $800 million in 2001.     When he was charged with conspiracy, Belden after a long time of dealing and negotiating with the federal government, decided to turn against Kenneth Lay and Jeffrey Skilling, claiming that the two top executives knew of the practice he and other traders did as indicated by the internal company memos which described how Enron took power out of California at a time of rolling blackouts and shortages and how it sold out of state to elude price caps (CBS News).

How did early Chinese philosophers come to have a long-lasting Essay

How did early Chinese philosophers come to have a long-lasting influence on the - Essay Example Chinese philosophy came to spread throughout the region specifically because of the political and military power of the Chinese kingdoms and later empire. At its height of political power, the Chinese empire was the most advanced in the Far Eastern region with a culture that was based on the teachings of its philosophers. The result was that many of the neighbouring states often sent their young people, especially from the aristocracy, to study in China and this resulted in their being especially influenced by the Chinese philosophers. When these individuals returned to their homelands, they brought back the philosophy that they had learnt with them and ensured its propagation among their people. Because it was the norm for the general population to imitate or follow the example of the ruling class, Chinese philosophy took root in the intellectual development of the region, with many schools of thought being developed for the purpose of ensuring that teachings of Chinese philosophers were further developed and propagated (Ebrey 42). In this manner, Chinese philosophers came to have an immense influence on the later intellectuals in the entire region and this situation also helped in the propagation of the cultural dominance of the Chinese in later years. Among the most influential reasons for the Chinese philosophers’ influence on the intellectual development of the region is that the region already shared a common religion in the form of Buddhism. The fact that a large chunk of the population practiced this religion ensured that Chinese philosophy could be easily accepted by the populations outside of the Chinese empire (Denecke 38). There were instances where Chinese philosophy came to be a part of the basic life of the people of the entire region and this was mainly through its spread by Buddhist monks and scholars.

The Development of Electronic Music in the age of Post Modernism Essay

The Development of Electronic Music in the age of Post Modernism - Essay Example This further allowed the reintegration of Acoustic sounds to allow for the reintegration of Acoustic sounds through carefully sampled computer based musical instruments. (Schwartz, S. 1993.).This is particularly true in terms of the graphic signal-processing software which when it came out allowed for real-time MIDI control allowing the post modern composer to use this system even with limited technical knowledge. Chadabe, J, 1997).The availability of of such techniques and the further advent into the market of the Yamaha DX-7 MIDI keyboard in 1985 and of hard disk recording and editing softwares were all set to revolutionise Electronic music. (Schwartz, S. 1993.).The nineties further paved the way for more interactive computer-assisted performance and the release of the multimedia CD-ROM meant that the MIDI sequencing programmes were all set to expand to include digital audio. Chadabe, J, 1997). This is in contrast to the position of technology available for the electronic composers back in the 1940’s. where as the musicians were still struggling with amplifiers (for example John Cage’s Imaginary Landscape no.1 (1939)).Towards the fifties there was the Radio-diffusion-television upon which the modern musique concrete is based upon.The founders of the French version of the Groupe de Musicque Concrete included the likes of Messiaen, Boulez and Stockhausen. Another studio opened very soon under Karlheinz Stockhausen and made generous use of electronic sound generators and modifiers.

First group Bus Travel Research Paper Example | Topics and Well Written Essays - 2250 words

First group Bus Travel - Research Paper Example Use of private transportation modes leads to air pollution, traffic congestion and poor health condition of the riders due to lack of exercise. If the final goal is to reduce carbon footprint and improve the overall quality of environment and living standards, then it is very important to reduce the use of private transportation (Nillson and KÃ ¼ller, 2000). Various researchers suggest that certain behavior is exhibited by individuals because of others’ attitude towards that particular behavior and perceived norms. Assumptions suggest that behavioral pattern of using personal vehicle is discretionary in nature and can be influenced by providing the right information. With appropriate information, individuals are likely to make sustainable choices and decisions. There is evidence that signifies that willingness of people towards preferring private/public transportation mode is affected by their own assumptions as well as that of others. Certain behaviors such as choice of tran sport mode, do get influenced by altruistic attitude; that is, people can use their personal vehicle lesser if they perceive that to have a good impact on their future generation, community, and environment (The Psychologist, 2012). According to authors, people are aware of the harmful impact of excessive use of a personal vehicle on health and environment. Yet, they hardly act on it. Statistics suggest that on an average, people spend around 230 hours in a car and as little as 70 hours walking every year.

Avatar Assignment Example | Topics and Well Written Essays - 250 words

Avatar - Assignment Example Thus the film’s clear and direct message is that of aggressive dominant cultures, just like that of the U.S subjugating another country in pursuit of riches or resources. Thus avatar is all about the imperialistic culture that the US as a country and her citizens are known for. Just the way humans invade Pandora, US also has been involved in the conquest of weaker resource-rich countries in the pretense of offering them protection. In Avatar setting, 2154, humans have accomplished a technologically sophisticated, post-industrial community that is mainly under the dominion of powerful industries and corporations. This future earth of the film is depicted as an over polluted, overpopulated, dystopian global metropolitan shanty destroyed by fraudulent, nature-devastating industrialism. According to the film, the earth’s ecosystem has been completely wretched and there is very small working natural ecosystem, if any, left. This is exactly what is happening globally today wh ereby ecosystems have been completely destroyed by manmade industrial advancement resulting in global warming and other disasters such as tsunamis and devastating hurricanes. The theme of industrialization and pollution can be related to other cultures and countries in that they (countries) are also in constant search for resources so as to feed their growing industrial might. For instance, China has been very aggressive in search of resources in Africa so as to fuel her growing industries as well as factories.

Figurative Language vs. Literal Language Essay Example | Topics and Well Written Essays - 1250 words

Figurative Language vs. Literal Language - Essay Example According to Concise Oxford Companion to the English Language, in figurative language â€Å"figures of speech such as metaphors and similes freely occur...they are regarded as embellishments that deviate from the ‘ordinary’ uses of language.† On the other hand, literal language â€Å"suggests the influence of the letter as a measure of strictness and rightness... If something is done literally, a person follows instructions ‘to the letter’, without flexibility or imagination.† (1998) It is common for people to misuse or overly use figurative words in written or spoken language. Consequently, the minds of the readers or listeners start focussing on the language, rather than what it implies. Thus, it hinders the productivity of the thought process by engaging the mind to concentrate on words, or phrases rather than their meanings in a particular context. Following is an attempt to define the meanings and functions of a few words according to Oxford Reference Online that are often used interchangeably in different contexts. 2.Idiom â€Å"A phrase or grammatical construction that cannot be translated literally into another language because it’s meaning is not equivalent to that of its component words. † A simple idiom like ‘bring home the bacon’ means to earn money or success or profit. Consider the confusion it makes in contexts like: We planned to host a sumptuous dinner on Thanksgiving. I decided to prepare a delicious sweet potato, bacon and pomegranate salad, and bacon-roasted turkey. Everyone was looking forward to Thanksgiving as the year had been really tough and both, John and I had to work really hard to bring home the bacon. ... (Vega-Moreno, 2007, p.189) 3. Amphiboly Amphiboly is a â€Å"kind of ambiguity in which the linguistic context allows an expression to be taken in more than one way. There are several types, and writers differ over which to include out of: ambiguous grouping or scope.†2 Consider this statement: I wanted to become a fashion model for eight years. This statement is ambiguous because it implies two meanings: I have wanted for the past eight years to become a fashion model; or I want to be a fashion model for only eight years. 4. Analogy Analogy is the â€Å"respect in which one thing is similar to another. Arguing by analogy is arguing that since things are alike in some ways, they will probably be alike in others.†3 In debates or arguments, analogy is used to prove that if A is equal to B, and if B is equal to C, then by analogy, A is equal to C. While such inference might be true in mathematical domains, it is likely to generalize facts and thus obstruct critical thinkin g. 5. â€Å"Flame-word† Flame words are words that convey expressions like anger, fury, hatred, insults etc. As such words carry emotional meanings; therefore they carry compound impressions. For example: May you burn a million years in hell is based upon figurative language. 6. Metaphor â€Å"The most important figure of speech, in which one subject-matter (sometimes called the tenor) is referred to by a term or sentence (the vehicle), that does not literally describe it: the ship of state, the light of faith, etc.†4 â€Å"...consider the thematic similarity among the metaphoric expressions that are used to describe a love relationship in this fictitious â€Å"break-up† speech: Dearest, we’ve come a long way since we first met, but

UK Government Urban Policy Agenda Essay Example | Topics and Well Written Essays - 3000 words

UK Government Urban Policy Agenda - Essay Example The implication of various reports that have been projecting the growth of population in UK is increased house-building especially on undeveloped green fields. Every incoming government has been targeting to increase the number of houses in the cities in order to solve the housing problem. However, according to the Urban Task Force, these interventions are insufficient. This is because an appropriate strategy must address the increasing level of dissatisfaction among the city residents. Many of these people feel that little attention is being directed towards making city life better . Therefore, there is an argument that the policies should not only focus on accommodating people in urban areas, but also make the cities attractive for the people living in them. The last government’s urban policy agenda failed to achieve the set objectives. For instance, in 1999, the Regional Development Agencies was launched. The main aim was to transform the UK’s regions through sustainable economic development. This is through creating the right conditions for growth and bringing expertise to the task of economic regeneration and development. This is through improving the physical infrastructure and providing the necessary support to the people. In 2002-2007, the agency received a large amount of money from the government.

Marketing Plan Assignment Essay Example | Topics and Well Written Essays - 3500 words

Marketing Plan Assignment - Essay Example Put differently, Jim’s Cleaning ensures peace of mind for its customers and that it why it stands out vis-a-vis other players in the industry. Jim’s Cleaning has its own professional cleaning equipment. It is known to be a reliable company that starts and completes the job on time. Its franchisees are fully insured. The company guarantees quality services at a fair price. About the Product According to the American Marketing Association, a product is a bundle of attributes; features, functions, and benefits that an organization offers to sell to the target customers in exchange of money. A product may be an idea, a good (physical tangible product), or a service, or any combination of the three. As of now Jim’s Cleaning offers only ‘services’ to its customers. The company offers its cleaning services to domestic as well as business customers. Its cleaning services are divided into the following divisions; Jim's Carpet Cleaning, Jim's Window Cleaning, Jim's Car Cleaning, Jim's Blind Cleaning and Jim's Pressure Cleaning. Jim’s Carpet Cleaning The company does a methodical cleaning of carpets and thereby ensures that the customer not only gets the best feel and appearance of the carpet but also protects the investment made on the carpet. The company uses the most advanced products and equipment and cleans as per the Australian National Standards. The carpet division also cleans upholstery, drapes and mattresses. Customers are offered two options; Steam Cleaning and Dry Cleaning. The former method, also known as hot water extraction uses hot water for cleaning carpets. The dry cleaning method is recommended for carpets that require regular preservation cleaning or when carpets have to be dried quickly. Jim’s Window Cleaning Jim’s Cleaning enhances the appearances of homes by cleaning windows to perfection. This cleaning exercise also cuts energy costs in winters by allowing more light inside the home. The compan y guarantees streak free, shining windows after work. Jim’s Cleaning has the expertise to clean all internal and external windows. Given its state of the art equipment, Jim’s Cleaning personnel can reach double storey and high rise buildings. Jim’s Pressure Cleaning Jim’s Pressure Cleaning offers tailored programs to suit the requirements of commercial clients. This division specifically targets real estate agents, builders and local businesses, in addition to residential customers. Services include mould and dirt removal, cleaning of driveways, fascia, paving, pathways, outdoor timber, and tiled areas. Jim’s Car Cleaning Jim’s Car Cleaning division simply loves its job and guarantees quality job, reliable service and money back guarantee. The car is cleaned at a location convenient to the client. The customer need not take the car anywhere as the personnel from Jim’s visit the customer and do the job. Depending on the quantum of work a customer requires, Jim’s car Cleaning offers Premium Wash, Mini Detail and Deluxe Detail. As part of its specialty services Jim’s Car Cleaning offers full cut, polish and wax coat for the car. The customer can also opt for shampooing the car. Jim’s Blind Cleaning Jim’s Blind Cleaning not only cleans but also repairs blinds. As an additional service, the company replaces the defective parts of the blinds as well. The division offers proficient service to take care of these precious window coverings, be it of any type or make; horizontal or vertical. The company promises to clean a large variety

Reading Aloud Essay Example for Free

Reading Aloud Essay 1. 0 Introduction More than half of our lives today concern about reading ability. Through reading people are being introduce to values and knowledge. People usually read to get a job, as a hobby or to fulfill their dream. Reading always intertwine with literacy and the experiences that one felt via reading often different with each other. Different people have different understanding on text read. Reading materials can be magazines, newspapers, books, research articles, journals and other written form of texts. As long as people can write there will be always a text to read. Moreover, one academic skill that is especially important for school success is reading proficiency (Bernhardt, 2005). For children to succeed academically it is essential that they develop the foundational reading skills that will allow them to obtain knowledge fluidly through text and increased opportunities for learning (Joseph, 2006). Thus, reading proficiency is a fundamental skill which will help students to engage with new input or knowledge. However not all proficient readers have the ability to read fluently. According to Hudson (2009), reading proficiency constitutes of reading for fluency and reading for comprehension: reading for fluency deals with the accurate reading behavior which deals with reading with correct pronunciation. Whereas reading for comprehension deals with reading for understanding a text. Reading fluency is the most important component in reading skills and the numbers of students who can acquire a good reading fluency is not great (Schatschneider, 2006). Most curriculum in schools assumes that all students are literate and they can accumulate knowledge via reading (Rasinski Hoffman, 2003). However not all readers can read a passage fluently even though they can comprehend the passage well (Baker, Smolkowski, Katz, Fien, Seeley, Kame’enui, et al. , 2008). Hence, for years reading fluency was the forgotten stepchild of the reading curriculum because teachers and reading scholars were more interested in moving students as quickly as possible into silent reading, not the level of expressiveness in oral reading (Rasinski et al., 2008). Profoundly according to Elena Lilles et al. (2008) if students struggle with reading fluency, they will consequently struggle with other academic areas. Serious reading fluency problems in school limits success in most academic tasks and promote academic exclusion from intellectually rewarding and challenging educational opportunities (Entwisle, Alexander Olson, 2004). Ellen, Ramp, Anderson Martin, (2007) ask if students capable of comprehending a passage, will they also capable to read the same passage with correct pronunciation? They also explain that if the students can achieve a good level in comprehending a text in English, it does not guarantee that the students can acquire an efficient level in oral reading. As a consequence, students will face problems in using English language orally as medium of communicative language in society. However, students who are struggling to read can be helped through monitoring their oral reading fluency through a suitable reading approach (Schatschneider, 2006). Daly III, Chafouleas Skinner, (2005) has come out with several reading approach. There are 1)reading aloud, where the students need to read aloud a passage given several time before being evaluate by teachers, 2) phrase drill error correction, where the error words are being repeated until the students acquire the phonic sound, 3) performance feedback, where the students need to give feedback on passage that they have read. 4) Listening while reading, where the students need to read the passage aloud in the class and the students who are listening will learn how to pronounce certain words. 5) Folding in flashcard instruction, where the students learn to pronounce a word through flash cards. In conclusion, students should be able to acquire reading proficiency both in fluency and comprehending a reading text. The consequences of lack in reading proficiency could affect their academic performance. As solution reading habits should be implement in school. Students should practice reading in order to prevent them from being a struggle readers. Students who can comprehend a reading text does not mean that they can read the text fluently with correct pronunciation. Reading problem especially in reading fluency can be improved through appropriate intervention which seem to be suitable with the students. Thus, students’ weaknesses in reading a text should be identified in order to enhance their reading proficiency especially in reading fluency 1. 1 Background of the study Malaysia is characterised by a multilingual society where its population is made up of people who come from various ethnic and linguistic backgrounds (Harison, 2010). Thus, Malaysia has different kind of races that use different kind of languages. Malay students will use Malay language to communicate, the Indian students will use Tamil language and the Chinese students will use Mandarin language. Most of the time they will read books that related to their languages because of the need to enhance their reading on their mother tongue (Abdul Rashid, Chew Muhammad Kamarul, 2006). Hence, due to this matter, reading in English might being neglected or being less focused in school. When teacher conducting an oral test to our students, the interference of their mother tongue occurs and that made our students become a struggle reader (Siti Norliana, Roszainora Muthusamy, 2009). Most of the reading activities in Malaysian Secondary Schools focus on understanding a comprehension text which later the knowledge that they comprehend will be used to answer the questions given (KBSM, 2001). Therefore, secondary students reading skills was not optimally being explored. Teachers will ask several students to read aloud and most of the time will be silent reading. Indeed, the students only built their knowledge but they cannot read fluently which most of them having problem related to reading fluency (Siti Norliana, Roszainora Muthusamy, 2009). In order to find a solution for the reading problem related to reading fluency, a precise study on how can we help our Malaysian secondary students become a fluent reader is important to carry out. Reading fluency like has been mention above focused on students’ speed of accurate reading (Hudson et al. , 2005). Thus, this research focused on how we can help struggle readers to enhance their reading fluency. This study used reading aloud approach where the students need to read passage given orally. Reading passages were chosen from the Malaysian secondary English Textbook as the reading materials. CBM was used to measure the accurate reading or the percentages of correct word read during the reading sessions. Accurate reading focuses on 1) words pronounce correctly, 2) words read incorrectly which consist errors of mispronunciations, substitutions, and omissions, 3) three second rule which the words will be counted as an error when the teacher help the students to pronounce it after they hesitate in pronouncing the words for three seconds. Exactly as the guidelines provided by Daly III, Chafouleas Skinner, (2005, p. 78). Thus, the result of this research sought to reveal on how far the reading will aloud approach can improve Malaysian secondary students reading fluency. 1. 2 Problem statement Models of World Englishes has been coined by Professor Braj B. Kachru on 1985 (Phillipson, 2008). This model explains how English widely spread and used worldwide. According to Kachru, B. B. , Kachru, Y. , Nelson, C. L. , (2006), there are three circle models which can classify English as native language (ENL), English as a second language (ESL), and English as foreign language (EFL). The three circles model are: The current sociolinguistic profile of English may be viewed in terms of three concentric circles . . . The inner Circle refers to traditional cultural and linguistic bases of English. The Outer Circle represents the institutionalised non- native varieties (ESL) in regions that have passed through extended periods of colonization . . . The Expanding Circle includes the regions where the performance varieties of the languages are used essentially in EFL contexts. (Kachru, B. B. , Kachru, Y. , Nelson, C. L. , 2006). Concisely, this model explains about three circles which roughly classify three different English learners worldwide. 1) The Inner Circle houses countries, like the United States, United Kingdom, Australia and so on, where English is traditionally the primary or native language (English as Native Language). 2) The Outer Circle comprises countries where English has a long history of institutionalized functions, usually owing to a colonial past, and is used intra-nationally among fellow citizens who are usually bilingual (English as Second Language). Finally, 3) The Expanding Circle consists of countries in which English has no special status, but may be taught as a foreign language (English as Foreign Language) (Rajadurai, 2010). Applied to Malaysia, our country has traditionally been assigned Outer Circle status due to the British colonization. (David Govindasamy 2003). Rajah stated that the independence of Malaya in 1957, however, saw a continuing change in attitude towards the English language, in favor of the Malay language. English continued to be a dominant language. (as cited in Lee Su Kim, Lee King Siong, Wong Azizah, 2010). Competence in English had become a crucial partition in Malaysian society after the independence, carving out for itself a role in the economical areas, in education and placing the society status or standard among Malaysian. (Lee Su Kim, Lee King Siong, Wong Azizah, 2010). In the Malaysian school context, where English is officially stated and taught as a second language, learning English as a second language (ESL) in class always poses many language and cultural obstacles (Melor et al,.2012). Thus, there is a widespread concern among educators about students who not having the ability to read or students who is struggling to read in English (Zulhilmi, 2005). In News Straits Times newspaper dated on 12th February 2006 reported a survey conducted by the National Union of the Teaching Profession (NUTP) on students’ ability to read in English among secondary schools students in Malaysia. From the 70 secondary schools population of 73,858 students were analyzed, and from the analysis there are 34,890 students who could not read in English. What is more shocking is that some of these students are in Form five and having had eleven years of schooling and learning English as a second language yet they failed to achieve the basic skills of reading in English. Thus, students’ reading ability in second language need to be developed so that they can become fluent readers. (Noorliza, 2006). In order for students to succeed in reading fluently the teacher need to focus on enhancing their reading fluency (Baker, 2008). Baker also claimed that acquiring fluency in reading can also be considered important because it is also a part of developing reading ability. One of the ways to help students in enhancing their reading fluency is through reading aloud approach. (Hale et al. , 2007). Thus, this research will show the insight of struggling readers enhancing their reading fluency through reading aloud approach. 1. 3 Rationale of the study Several models of reading development suggest that reading fluency is a one of the most important components of effective reading ( Kuhn Stahl, 2003). Normally, students who are struggling to read will take longer time to develop their reading fluency. Due to this subject matter using reading aloud strategy seem to be an effective and convenient way to help our struggling readers. (Compton, Fuchs, D. , Fuchs, L. S. , Bryant, 2006) Rasinski Padak (2008) claims that reading aloud approach should be an instructional routine in all classrooms, including those for student who experience difficulty in reading. Another advantage of reading aloud, especially for those who find reading difficult, is that it familiarizes students with the style and form of written language. It also provides students with a model of what fluent reading should sound like. (Goering Baker, 2010). Furthermore, Nurazila et al. , (2011) claim that the use of reading aloud approach is less being attempt to be studied by our Malaysian researchers. Indeed, they also stated that this reading approach strengths and weaknesses still need to be investigate deeper. So, the rationales of this study open up the chance to enhance students reading fluency using reading aloud approach. 1. 4 The Purpose and Objective of the study. The purpose of this study is to investigate the reading fluency development of our secondary school students using reading aloud approach. Henceforth, the objectives of this study are: 1. To identify whether reading aloud approach can improve students reading fluency or not 2. To identify whether reading aloud approach has a positive influence on the subjects’ percentages of correct words read during the treatment was given. 3. To identify students common errors in their reading session. 1. 5 Research questions Thus, research questions of this study will be: 1. To what extent does reading aloud approach improve students’ reading fluency? 2. To what extent does reading aloud approach influences the subjects’ percentages of correct words read in each reading sessions during the treatment was given? 3. To what extent does students make errors in their reading sessions? 1. 6 Significance of the study 1. 6. 1. Society level At the society level, this study can help in developing number of peoples who can use English as a second language fluently which can cater jobs requirement as English is being used as second language in Malaysia. This study will also help the new generation equip with proper level English proficiency that can help them face the globalization era which English is widely being used as universal language. 1. 6. 2. School level. This study will help school to improve their students reading abilities in order to gain better result in major examination in English subject. It is also will give an idea on how to save struggle readers in the schools. 1. 6. 3. Teacher At the pedagogical level, this study can assist the teachers in solving problems in reading fluency among the students. Students who are struggling readers could be helped through the approach used in this research which later could help teachers to easily conduct the lesson of the day without facing any problem in teaching and learning session. 1. 6. 4. Students. This research might help the student in enhancing their reading proficiency. Students not only competent in reading to gain comprehension and knowledge but also can convey the knowledge fluently through oral reading using accurate pronunciation, intonation and reading rate. 1. 7 Limitation of the study 1. 7. 1. Time limitation In order to carry out this research, a consistent time management should be taken care of. This study has to be conducted 4 times a week, for 5 weeks. So, a proper supervision of time is needed. However, in school the periodic timetable given and the school’s programs will interrupt the suggested period of the research. 1. 8 Definition of terms 1. 9. 1 Reading fluency Reading fluency is often defined as â€Å"the ability to read rapidly with ease and accuracy and to read with appropriate expression and phrasing. (Grabe, 2008). In this study, reading fluency refers to accurately read the words in one minute without making errors in the reading sessions. 1. 9. 2. 1 Accurate reading. According to Fletcher, Francis, Morris Lyon (2005) accurate reading is the ability to recognize word, how to sound a words which involve the process of pronouncing words correctly with the correct pronunciation. In this research, accurate reading refers to reading a passage accurately without making errors in reading. The errors consist of mispronunciation, substitutions and omission, and three second rules which the words will be counted as an error when the teacher help the students to pronounce it after they hesitate in pronouncing the words for three seconds. 1. 9. 2 Reading aloud approach Rasinski (2003) defined reading aloud as a process of sounding the words in written forms loudly with appropriate facial expression, rhythm and use the correct punctuation marks in the texts read. In this study reading aloud means students need to read passage given orally in front of teacher. Teacher will assist the students through monitoring the students’ reading. Students will be given chances to read the passages repeatedly before the students’ progress in reading were taken. 1. 9. 3 Curriculum Based Measurement Curriculum-based measurement (CBM) is a standardize format for assessing reading fluency in one minute time. (Daly III, Chafouleas Skinner, 2005). In this study, CBM refers to students reading progress in one minute. CBM will show the level of students’ reading fluency gain through reading treatment given for the students. 1. 9. 4 Struggling readers Struggling readers refers to students who fail to recognize words, fail to comprehend various types of text, have little motivation to read and spend less time in reading. (Chard, Vaughn Tyler, 2002). In this research struggling readers refers to students who fail to pronounce a word with correct intonation using appropriate reading speed and students who can comprehend the texts but having difficulties in sounding the words in a text.

Development of Tourism in Thailand

Development of Tourism in Thailand With reference to relevant academic and trade sources, explain the provision of your topic within your chosen destination and suggest how it may develop in the future. Introduction Volunteer tourism is when travellers visit any countries to do voluntary work in order to help the communities. The voluntary workers mainly target young children and elderly people. Volunteer work can be done by any individuals and in any countries. According to (GVI, 2014) volunteer work can be done by individuals who are 18 and over and are currently on a gap, seeking for work experience etc. (GVI, 2014) stated that in Thailand are looking for many volunteer workers around the globe and they are offering many volunteer works such as Teaching, Health Care, Child Care etc. By attending a volunteer work in teaching in Thailand for example, the individual are able to help the children with education and also provide them with good education. According to (TEFL, 2014) the volunteer workers will also have benefits such as they will gain confidence, meet new people, learn a new language, gain new skills, experience and many more. Volunteer tourism gives people the opportunity to travel t o travel countries and change people’s lives who are struggling to make something out of their living. This will also give the volunteer workers satisfaction since they gain experience that benefits them in the future. How many people visit Thailand each year? (Go Overseas, 2014) has stated that Thailand has become of the Top Ten most visited country on earth. This is due to the fact that Thailand is such a beautiful country to visit and the tourists are able to experience this from volunteer work as well a mutual visit to Thailand. According to (Katka Lapelosova, 2014) Thailand is a good country to spend voluntary work in since the place has beautiful scenery where the voluntary workers are able to enjoy from. Depending on the voluntary work the workers will have their own accommodation and they will cost at a low fare or sometimes nothing at all. (Go Overseas, 2014) has also stated in 2013 26.5 million people have visited Thailand which makes Thailand a popular place to visit. This is also due to a very low cost of living where the volunteer workers do not have to spend a lot of money for their accommodation. In Thailand volunteer project with the children is the most popular programme since the workers and the children tend to be satisfied with this programme. (Go Overseas, 2014) also argued that English teachers make an encouraging influence to the children. (Open Mind Project, 2014) has stated that over 70 volunteer workers visit Thailand per year to carry out a volunteer programme. Since many volunteer workers visiting Thailand it will make Thailand better and satisfied place to visit. According to (Polly Dean, 2015) people visit Thailand to experience what their culture is like and their culture is easily adaptable by any individual. (Polly Dean, 2015) also stated that living cost is very cheap which means accommodation is not a problem and Thai food is something that everyone enjoys. Every year more people visit Thailand in respect to volunteer tourism or just a mutual visit to the country. How much is it worth to the Economy (Mack Alvin, 2013) argued that Volunteer Tourism is a new trend where people tend to enjoy their time being at the chosen destination and their chosen programme. For example, in Thailand there are few programmes available that can be chosen by the travellers. Volunteer tourism can bring the volunteers enjoyment such as they are able to go around the city where they are spending their time in. It will also give the volunteer workers to learn Thailand’s culture and the great surroundings such as the mystic Temple, Rainforest etc. The volunteer work often run among 2-3 weeks five days being the volunteer work and weekends will be the days where the volunteer workers are able to investigate the place. The volunteer work has a great impact in the economy since the price of taking part in volunteer work is really cheap or sometimes free depending on the service. Mean time while doing volunteer work over the period of 2-3 weeks the volunteer workers can also visit around the place. It is a holiday for fewer prices and the individual is also able to gain new skills and experience. (Friends For Asia, 2015) also specified that for example, carrying out English Education Volunteer programme in Bangkok and Chiang Mai will save the volunteer workers money on travelling expenses and accommodation. As this will get more and more popular in the future people will prefer this as a choice since it will help the people gain experience and visit the destination at the same time it is like â€Å"Holiday with Benefits†. It will cause an impact to the travel agents and travel companies as people in the future may choose to go this way and this will could convince the travel agents and online travel website to reduce their prices for holiday destinations. Why can this be important and interesting? There are many things the volunteer workers are able to benefit from. In Thailand English Education programme is most popular where more of the people are applying for this particular programme. The volunteers are can get to know the background of the children and realise how these children are struggling for living, food and education as this will be a life changing experience for the volunteering individual. According (Nancy McGehee, 2010) volunteer work overall is a life changing experience where the workers are able to meet new people and children who are less fortunate in terms of food and education. According to (Tomazos and Buttler, 2009) the number of volunteer tourism projects increased dramatically in the Top-Ten countries. In the year 2003 there were 223 volunteer projects and in 2007 the amount of available projects increased significantly to 1,741. The reason for the increase is due to more and more people are willing to participate in these projects as their as showing a real interest in volunteer tourism. (Tomazos and Buttler, 2009) has argued that due to the importance and interest shown by the people who are willing to take part in volunteer tourism there is now 146 volunteer tourism organisations around the world and they distribute thousands of volunteer tourists every year. Volunteer tourism is a very interesting way of getting to know other people, tradition, societies and culture. Volunteer tourism provides tourists with a life changing opportunities to work with people who are different to their tradition and cultures. According to (Jenny Morgan, 2010) It is an inspirational opportunity which will change the volunteer workers mind in a positive way and it will help them be more social aware and increase their understanding of the cultures. Being able to participate in the volunteer tourism project will change the person who we are right now and will ensure that we can adapt in any situations in the future of our life. Developing the destination further There are many destinations in Thailand that are offering many volunteer projects. In Chiang Mai there are many volunteer projects such as English teacher, volunteering with Elephants, Wildlife and Community Expedition. However, according to (GVI, 2014) the best place to do volunteering in Thailand is Phang Nga. In Phang Nga there are many volunteer projects where volunteers are able to take. The projects which are available in Phang Nga according to (GVI, 2014) are Thailand Coastal Marine Expedition, Healthcare, Community Development Expedition, Learn Thai and many more. Phang Nga is not only well know due to the reason that there are many volunteer projects which are interesting, the reason being that Phang Nga is a tourist attracting province. Phang Nga is situated in south of Thailand and this where the real beauty of Thailand starts. Volunteer Tourist have benefits when choosing to do volunteer projects in Phang Nga as the volunteers are able to get experience from their volunteer projects and they get to visit the attraction in Phang Nga such as Mountains, stunning scenery and national parks. According to (UNWTO, 2014) few crucial parts of Phang Nga was destroyed by Tsunami in 2004. In 2004 Phang Nga was yet the leading province to visit in Thailand. As Tsunami destroyed some areas in Phang Nga the community was left devastated. (UNWTO, 2014) stated when Tsunami destroyed the areas in Phang Nga, Thailand faced loss and they had to build the areas that has been destroyed from scratch. According to (UNWTO, 2014) it took them 2 years to build the crucial parts of the areas and they received funding from European countries and their government. In 2006 Phang Nga becoming developed and it became even better than it was before. Volunteer Tourist visit Phang Nag every year to experience the beauty of Thailand and gain experience and provide support to the Phang Nga community. Growth of Volunteer Tourism (Douglas McGray, 2009) has argued that people who are sitting around at home and not making use of their time such as an individual without a job. However people like that have an opportunity to change and turn around their life and this is by applying to a volunteer tourism project around the globe. The growth of Volunteer Tourism increased due to individual who are free are not willing to waste their time and use their time to help others who are less fortunate and gain some vital experiences themselves. (Natasha Stein, 2015) has argued that market value for volunteer tourism is  £1.3 billion. Since there is a demand for volunteer tourism there are organisations that offer a short term volunteer work. Organisations who offer volunteer projects make good profit. (Natasha Stein, 2015) also stated that people tend to take these projects a holiday. From a survey that has been carried out by (Natasha Stein, 2015) gathered that 300 organisations have offered Volunteer Tourism to 1.6million volunteer tourists. The organisations have great benefit over this type of tourism since now days many people prefer this type of tourism and when more people are interested in Volunteer Tourism means more customers for the organisations which means more profit. (Ritwik Deo, 2013) stated that gap year has increased from the past few years and this is due to students are willing to take part in volunteer tourism so that they are able to explore the place there are going to volunteer for and gain experience which will help them in the future. This shows that Volunteer Tourism has increased in the past years and there is demand for this type of tourism since people are willing to take part and learn something new as well as helping the less fortunate. In the future the demand for this type of tourism will still rise according to the amount of peop le interested in taking part. Conclusion Overall, Volunteer Tourism is a great opportunity to gain vital skills and gain experience. However there are downfalls according to (Natasha Stein, 2015) such as volunteers not meeting or having the necessary skills required, replacing unpaid workers and not showing interest at all. ( Natasha Stein, 2015) argued that few volunteer workers come in on their first they and they do not like the environment or the project and they do not turn up the next day. This will cause frustration since instead of the not interested volunteer workers they could have been replace by someone who enjoy the project and has potentials. However, besides the negatives Volunteer Tourism is beneficial with different varieties of projects that best suits the individual. Volunteer Tourism is very demanding since people are choosing this type of tourism over others. According to (Franziska, 2010) Volunteer Tourism is a valuable perception as this offers many opportunities to individuals. As the numbers of inte rested Volunteering Tourists are growing so are the organisations, the concept of Volunteer Tourism is ‘Gaining Little but Giving A Lot’. Volunteer Tourism is something that benefits everyone therefore Volunteer Tourism will keep growing in the future. References: http://www.gvi.co.uk/volunteer-in-thailand/ http://www.i-to-i.com/why-do-people-volunteer.html http://www.gooverseas.com/volunteer-abroad/industry-trends/annual-report http://matadornetwork.com/change/7-reasons-thailand-best-place-practice-voluntourism/ http://www.openmindprojects.org/ http://www.investopedia.com/financial-edge/0113/how-voluntourism-can-save-you-money.aspx http://www.volunteerthailand.org/ http://www.voluntourism.org/news-studyandresearch62.htm https://voluntourismgal.files.wordpress.com/2011/08/voluntourism-give-a-little-gain-a-lot.pdf http://biodiv.unwto.org/content/thailand-biodiversity-and-tourism-development-phang-nga-province http://www.travelandleisure.com/articles/going-the-distance-february-2004 http://www.travelmole.com/news_feature.php?news_id=1151074 http://www.independent.co.uk/voices/comment/the-tragic-rise-of-gap-year-voluntourism-8473608.html http://www.goabroad.com/articles/volunteer-abroad/the-versatility-of-volunteering-in-thailand http://www.tourism-master.nl/2010/09/24/volunteer-tourism-a-mutually-beneficial-concept-or-an-exploitation-of-local-communities/

The Tyger Essay -- essays research papers

â€Å"The Tyger† Ana Melching Does god create both gentle and fearful creatures? If he does what right does he have? Both of these rhetorical questions are asked by William Blake in his poem â€Å"The Tyger.† The poem takes the reader on a journey of faith, questioning god and his nature. The poem completes a cycle of questioning the creator of the tyger, discussing how it could have been created, and then returns to questioning the creator again. Both questions about the tyger’s creator are left unanswered. William Blake uses rhythm, rhyme, and poetic devices to create a unique effect and to parallel his theme in his work â€Å"The Tyger.†   Ã‚  Ã‚  Ã‚  Ã‚  William Blake’s choice of rhythm is important to his poem â€Å"The Tyger† because it parallels the theme of the poem, that the tyger may have been made by god or another harsher creator. Most of the poem is written in trochaic tetrameter as can be seen in line three, when Blake says, â€Å"What immortal hand or eye.† This rhythm is very harsh sounding, exemplifying the very nature of the tyger. Some of the lines in the poem were written in iambic tetrameter, such as in line ten, when Blake says, â€Å"Could twist the sinews of thy heart? .† Iambic tetrameter has a much softer sounding beat than does trochaic tetrameter. This implies the gentle nature of god, and if he could create such a beast. The last word of each quatrain is written in a spondee. This h...

Rita Dove Literary Analysis Essay -- essays research papers

Rita Dove: Literary Analysis   Ã‚  Ã‚  Ã‚  Ã‚   Rita Dove has written many different kinds of poetry. She also wrote books, short stories plays and all types of literature. This essay will focus on specifics of her writing by analyzing three pieces of poetry that Rita Dove has written. The works we will be looking at are In the Old Neighborhood, My Mother Enters the Work Force, and The Bistro Styx. Through these three works you will see examples of Rita Dove’s use of home in her poetry, her use of figurative devices such as similes and metaphors, and you will see Dove’s view on children coming of age in different ways.   Ã‚  Ã‚  Ã‚  Ã‚   By looking at the poem “In the Old Neighborhood'; we can deduce a number of things from the overall poem. Dove seems to go back in time to view her home as a child from a newly shifting and surreal location. The speakers in Dove’s poems are not usually at ease with their surroundings, and they tend to look upon scenes of home as seen through a distant and dispassionate eye. Dove’s home seems alien to her. Even the flowers are strangers there. Analyzing the poem farther we can see that Dove uses her views on home to further alienate from our familiar picture of that typical suburban home. She seems to be talking about the house in a manner that would indicate it is a photographic negative; this emphasizes race as an alienating factor. Dove’s writing usually charts a sense of displacement and this seems to be the case in “The Old Neighborhood';. In My Mother Enters the Work Force Dove does not use her home theme, but in The Bistro Styx, which is a small ex cerpt from a works entitled Mother Love, Dove does make references to home. This poem is a recasting of the story of Demeter and Persephone from ancient Greek mythology. In short, Hades kidnaps Persephone from her home, and Demeter, her mother goes insane trying to get her back. Demeter is able to go after Persephone only to find that too late Persephone has already “adapted'; to life in the underworld, and must remain there because she ate the fruit of the dead. Dove’s version is much the same and takes place in Paris. It deals with loss of home and a home coming that was not to be. Many of Rita Dove’s works deal, approach, define, or scrutinize the i... ...he mother, is insanely worried about her daughter. Persephone is unmindful of her mother’s fear and is off having a great time partying in Paris. Although Persephone is having a great time, what she doesn’t realize is that she can never really return home. The end of the poem symbolizes the mother realizing her daughter’s sexual awakening, and with that the realization that things are out of her control. Dove delves deep into these kinds of relationships in many of her poems, not just the examples given. The works we looked at were In the Old Neighborhood, My Mother Enters the Work Force, and The Bistro Styx. Through these three works we saw examples of Rita Dove’s use of home in her poetry, her use of figurative devices such as similes and metaphors, and her views and themes on children coming of age in different ways. These three elements do not fully encompass all that is Rita Dove. In fact, with a poet as diverse as she is it is hard to pick three main ideas when really they aren’t as main as you might think. Rita Dove is a complex and fascinating individual who will continue to write her style of poetry for many years to come.

A Short Review of The West Side Story :: essays research papers

One of the things that first struck me about the play was that the characters believed they lived a good life. I saw the exact opposite. The good life is shown through success, success through a career, education, goals, and love, or at least we are brought up thinking so. The gangs only had one another and without the support of that gang, these boys/characters would not exist as individual human beings. The Jets did not want to have jobs, and they mocked the ex-gang member, Tony, for leaving the gang to make a future for himself. Life outside the gang was not an option for the Jets. None of the boys had any future plans or felt the need for anything else in their lives. Tony did not live the good life, but he did have dreams. He knew there was a better life for him out there, and parting from the gang allowed him to search for that life. Maybe it was only me, but Tony seemed to be the happiest person there, even before he met Maria.   Ã‚  Ã‚  Ã‚  Ã‚  The West Side Story did not demonstrate a good society, either. The people outside the gang did not help to lead these kids in the right direction. The gangs learned to be negative towards one another, because people of higher authority did the same, such as the cops. I was shocked when the cop made racist comments towards the Sharks, I would think that a black man in that time period would be more aware of racial tensions and slurs. In the song â€Å"Officer Krupke† the Jets sing of several reasons to why society believes they are bad kids. Society makes it okay for them to be bad, and the boys just accept those excuses. People in their society were constantly giving them negative remarks and this eventually led them to believe that what people told them was true. The society had the same hatred that the two gangs for each other.   Ã‚  Ã‚  Ã‚  Ã‚  In spite of their lack of opportunities both gangs have a lot of fun at the dance (although it is laced with tension). The fun was portrayed by the vibrant colors of the girl's dresses and the boys' shirts, the frenetic music. I really loved the wonderful outfits, and I think that they really do make the play reachable. I was wondering if West Side Story has ever been done in a setting other than proscenium. A Short Review of The West Side Story :: essays research papers One of the things that first struck me about the play was that the characters believed they lived a good life. I saw the exact opposite. The good life is shown through success, success through a career, education, goals, and love, or at least we are brought up thinking so. The gangs only had one another and without the support of that gang, these boys/characters would not exist as individual human beings. The Jets did not want to have jobs, and they mocked the ex-gang member, Tony, for leaving the gang to make a future for himself. Life outside the gang was not an option for the Jets. None of the boys had any future plans or felt the need for anything else in their lives. Tony did not live the good life, but he did have dreams. He knew there was a better life for him out there, and parting from the gang allowed him to search for that life. Maybe it was only me, but Tony seemed to be the happiest person there, even before he met Maria.   Ã‚  Ã‚  Ã‚  Ã‚  The West Side Story did not demonstrate a good society, either. The people outside the gang did not help to lead these kids in the right direction. The gangs learned to be negative towards one another, because people of higher authority did the same, such as the cops. I was shocked when the cop made racist comments towards the Sharks, I would think that a black man in that time period would be more aware of racial tensions and slurs. In the song â€Å"Officer Krupke† the Jets sing of several reasons to why society believes they are bad kids. Society makes it okay for them to be bad, and the boys just accept those excuses. People in their society were constantly giving them negative remarks and this eventually led them to believe that what people told them was true. The society had the same hatred that the two gangs for each other.   Ã‚  Ã‚  Ã‚  Ã‚  In spite of their lack of opportunities both gangs have a lot of fun at the dance (although it is laced with tension). The fun was portrayed by the vibrant colors of the girl's dresses and the boys' shirts, the frenetic music. I really loved the wonderful outfits, and I think that they really do make the play reachable. I was wondering if West Side Story has ever been done in a setting other than proscenium.

Parliament carries out none of its functions Essay

â€Å"Parliament carries out none of its functions adequately†. Discuss. With democracy on the incline and other countries catching up to where the UK once lead it can be argued that parliament does not carry out its functions adequately. Many would say there are not enough checks and balances on the government to insure its parliament is run legitimately being argued that a cross on a ballot paper every four years is hardly a true expression of our will. Current circumstances have lead to his enquiry of the people, most significantly the freedom of information act 2000 introduced by Blair’s government allowing transparency and putting the government under some scrutiny resulted in the daily telegraphy uncovering the expense scandal, including the duck house this exploitation of the government sparked an unanimous felling of not only anger but also disappointment bringing the questioning of the effectiveness of parliament. However not all of parliament can be looked upon in negative light, parliament can be seen as efficient and it is unfair to cla im that â€Å"none† of its functions are adequate because the surely there would be a collapse in parliament and government. Predominately and most obviously parliaments â€Å"main function† is legislation and passing bills, and in all fairness that’s what parliament does, far more bills are efficiently passed through parliament and become law compared to the US who struggle to pass anything with such a variation of opinions. The majority government that Britain almost always has, despite labour government in 1974-79 which was weak and short lived, always been able to provide stability and efficient law-making; a core function of parliament. Counter-arguing this it could be suggested that such a strong majority government who does not have to debate or compromise in laws could eventually result in an elective dictatorship, meaning that we are effectively controlled by the government on a vote that was made for 4/5 years. A current example of other people outside of the direct governing bodies not being able to gain control over parliament is the private members bill of bedroom tax. Although the taxation proposals has reached the second stage it has taken a long time getting there, but at least it proves that  their are other influences in parliament and parliament is being scrutinized in some aspects even if it is only 13 Fridays a year. I personally believe that the bills that are past have been done so to benefit the country and not as a way of a party leaving their mark on government so that when next election time occurs they can claim how they have influenced parliament- a slightly more cynical view. The very fact we consistently pass bills shows strength and progress however more needs to be done to incorporate the public, the referendum in Scotland with a turnout of 84.5% just shows how willing the public are to be involved in politics and legislation suggesting more referendums would destroy doubt in the parliament as accountability is distributed evenly and decentralized. To be democratic parliament should come under as many forms of scrutiny as possible to insure certain issues don’t go under the radar. Possibly the most forceful form of scrutiny is the opposition, they are have the power, time and money to fully scrutinize and fault the current government in order to secure a place as the next winning party. This kind of faulting can lead to governments being forced to change as issues are brought to the public eye. As we have very recently seen in the autumn statement George Osborne claiming and exenterating how well the government is doing finically was soon brought down o the reality when the shadow chancellor Ed Balls was able to prove how much the government was still in debt by. This kind of scrutiny means that the government cannot disguise anything from the public and there should be a sense of transparency. However it could be argued that even if an issue is brought to light in parliament there is not a lot the opposing party can do about an issue if the government is a minority they will always be voted out even on things that they so strongly believe in. take the current collation, one of the promises liberal democrats made was to introduced free tuition fees, the divide was made clear when backbench revolts resulted in 21 Lib Dems voting against tuition fees despite whips advising them to join the vote of conservatives meaning they where voting against their won cause. Ultimately it shows how powerless other parties are in minority governments and also in a coalition as a smaller party and surely if they are so powerless how can we know that the majority government is not just taking advantage of their position. I personally believe that  coalitions benefit the UK because they allow room for debate and opinion as a pose to a parties single mind view however often to many parties ar e left too powerless and not able to scrutinize the government efficiently. Scrutiny of the opposition does not encompass all scrutiny, and it can be said that the more scrutiny there is the better it is, as we know that the government that governs our lives is being run correctly. Select comities are set up by the government to check the government. Each committee are devoted to every aspect of our lives making sure we are content with the current government and how parliament is ran, this is effective as it provides a layer of support and reassurance. Select comities can highlight an issue and bring it to the public attention by enquiring in current situation and encouraging government change, however all they can do is encourage government change, they can’t actually enforce policies. Whips have less power over select comities because select comities do not hold that much power however with technology on the inline select comities have become extremely good at unearthing and bringing to the publics attention faults in the current parliament and als o resolutions to these faults. A most recent example of this would be phone hacking; a select committee put an emphasis on issues within media, particularly news of the world. New of the world listen to the voice mail of missing girl Millie Dowler, the enquire then successfully resulted in the news of the world collapse and shutdown, it was then found out that Andy Carlson, who previously worked in news of the world was David Cameroons press sectary who after the enquiry was let go. Select comities are a very good form of scrutiny because they can find fault in parliament, government and the media however they do not have very little power to act upon findings and cant fully scrutinize the government as they are still under some influence for their party. Introduced a new law meaning parliament must always be consulted before military action is taken, because this is the result of the peoples word and the government should stay legitimate to avoid elective dictatorship it proves how efficient the current parliament are in tackling current. However it could be argued that prime ministers question time once every week, which has recently been shortened, further is not enough to put  legitimacy under enough scrutiny. Not all the government’s actions are properly debated and scrutinized with a majority government it is often the case of the biggest party winning. The unelected house of lords, although of recent times not hereditary peers due to Blair’s house of lords reform act 1998, still are not elected and therefore have no democratic legitimacy. A lot of respect for parliamentary legitimacy has been lost because of the unearthing of issues such as cash for questions, discovered in 2011 it was found MPs where paid to ask other MPs questions that would reflect well on their party, giving the public a bias view of the world and manipulating our perceptions. This kind of foul play in parliament takes away what legitimacy some parties have. Personally I think that not enough is done to scrutinize parliaments legitimacy, although candidates have been ‘democratically’ voted into power and should hold the trusteeship of the public it can still be argued as to what extent they have the right to this power as in some peoples view first past the post is not a democratic voting system to begin with and therefore the candidate is not legitimate. To conclude, I think that despite some major drawbacks parliament and its functions are carried out adequately and too say that none are is a major over statement. It is easy to see why someone people might lose faith in parliament, majority parties become too strong to control, desperate to leave their mark without fully discussing current issues. Young politicians going straight into the job with no really concept of life’s hardships, not fully representing what others really wants and need. However having said this parliament passes laws, it does so efficiently meaning that currant issues can be solved whilst they are still current. This kind of speedy and strong government creates a stable base to build a democracy upon and although many have lost faith given recent scandals like the expenses scandal, the fact that most voters still believe their party will deliver on their manifesto shows hope. Scrutiny is in my opinion of its highest form in select comities as they can pinpoint specific problems and resolve them such as the phone hacking 2012 however I also don’t believe they have enough power to influence the government. Having said this the government is currently stable even in a coalition, which suggest that parliaments functions are at the very least adequate.

Advantages and Disadvantages of Communication Technology

CHAPTER 15 Long-Term Liabilities ANSWERS TO QUESTIONS 1. (a) Long-term liabilities are obligations that are expected to be paid after one year. Examples include bonds, long-term notes, and lease obligations. (b) Bonds are a form of interest-bearing notes payable used by corporations, universities, and governmental agencies. 2. (a) The major advantages are: (1) Stockholder control is not affected—bondholders do not have voting rights, so current stockholders retain full control of the company. (2) Tax savings result—bond interest is deductible for tax purposes; dividends on stock are not. 3) Earnings per share may be higher—although bond interest expense will reduce net income, earnings per share on common stock will often be higher under bond financing because no additional shares of common stock are issued. (b) The major disadvantages in using bonds are that interest must be paid on a periodic basis and the principal (face value) of the bonds must be paid at mat urity. 3. (a) Secured bonds have specific assets of the issuer pledged as collateral. In contrast, unsecured bonds are issued against the general credit of the borrower. These bonds are called debenture bonds. (b) Term bonds mature at a single specified future date.In contrast, serial bonds mature in installments. (c) Registered bonds are issued in the name of the owner. In contrast, bearer (coupon) bonds are not registered. Holders of bearer bonds must send in coupons to receive interest payments. (d) Convertible bonds may be converted into common stock at the bondholders’ option. Callable bonds are subject to retirement at a stated dollar amount prior to maturity at the option of the issuer. 4. (a) Face value is the amount of principal due at the maturity date. (b) The contractual interest rate is the rate used to determine the amount of cash interest the borrower pays and the investor receives.This rate is also called the stated interest rate because it is the rate stated on the bonds. (c) A bond indenture is a legal document that sets forth the terms of the bond issue. (d) A bond certificate is a legal document that indicates the name of the issuer, the face value of the bonds, the contractual interest rate and maturity date of the bonds. 5. The two major obligations incurred by a company when bonds are issued are the interest payments due on a periodic basis and the principal which must be paid at maturity. 6. Less than.Investors are required to pay more than the face value; therefore, the market interest rate is less than the contractual rate. 7. $28,000. $800,000 X 7% X 1/2 year = $28,000. Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) 15-1 Questions Chapter 15 (Continued) *8. $860,000. The balance of the Bonds Payable account minus the balance of the Discount on Bonds Payable account (or plus the balance of the Premium on Bonds Payable account) equals the carrying valu e of the bonds. *9. Debits: Credits:Bonds Payable (for the face value) and Premium on Bonds Payable (for the unamortized balance). Cash (for 97% of the face value) and Gain on Bond Redemption (for the difference between the cash paid and the bonds’ carrying value). *10. A convertible bond permits bondholders to convert it into common stock at the option of the bondholders. (a) For bondholders, the conversion option gives an opportunity to benefit if the market price of the common stock increases substantially. (b) For the issuer, convertible bonds usually have a higher selling price and a lower rate of interest than comparable debt securities without the conversion option. 11. No, Tim is not right. Each payment by Tim consists of: (1) interest on the unpaid balance of the loan and (2) a reduction of loan principal. The interest decreases each period while the portion applied to the loan principal increases each period. *12. (a) A lease agreement is a contract in which the les sor gives the lessee the right to use an asset for a specified period in return for one or more periodic rental payments. The lessor is the owner of the property and the lessee is the renter or tenant. (b) The two most common types of leases are operating leases and capital leases. c) In an operating lease, the property is rented by the lessee and the lessor retains all ownership risks and responsibilities. A capital lease transfers substantially all the benefits and risks of ownership from the lessor to the lessee, so that the lease is in effect a purchase of the property. *13. This lease would be reported as an operating lease. In an operating lease, each payment is debited to Rent Expense. Neither a leased asset nor a lease liability is capitalized. *14. In a capital lease agreement, the lessee records the present value of the lease payments as an asset and a liability.Therefore, Rondelli Company would debit Leased Asset-Equipment for $186,300 and credit Lease Liability for the s ame amount. *15. The nature and the amount of each long-term liability should be presented in the balance sheet or in schedules in the accompanying notes to the statements. The notes should also indicate the interest rates, maturity dates, conversion privileges, and assets pledged as collateral. *16. Laura is probably indicating that since the borrower has the use of the bond proceeds over the term of the bonds, the borrowing rate in each period should be the same.The effective-interest method results in a varying amount of interest expense but a constant rate of interest on the balance outstanding. Accordingly, it results in a better matching of expenses with revenues than the straight-line method. When the difference between the straight-line method of amortization and the effective interest method is material, GAAP requires the use of the effective interest method. *17. Decrease. Under the effective-interest method the interest charge per period is determined by multiplying the c arrying value of the bonds by the effective-interest rate.When bonds are issued 15-2 Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) Questions Chapter 15 (Continued) at a premium, the carrying value decreases over the life of the bonds. As a result, the interest expense will also decrease over the life of the bonds because it is determined by multiplying the decreasing carrying value of the bonds at the beginning of the period by the effective-interest rate. *18. No, Tina is not right.The market price of any bond is a function of three factors: (1) The dollar amounts to be received by the investor (interest and principal), (2) The length of time until the amounts are received (interest payment dates and maturity date), and (3) The market interest rate. *19. The straight-line method results in the same amortized amount being assigned to Interest Expense each interest period. This amount is determined by divi ding the total bond discount or premium by the number of interest periods the bonds will be outstanding. *20. $28,000. Interest expense is the interest to be paid in cash less the premium amortization for the year.Cash to be paid equals 8% X $400,000 or $32,000. Total premium equals 5% of $400,000 or $20,000. Since this is to be amortized over 5 years (the life of the bonds) in equal amounts, the amortization amount is $20,000 ? 5 = $4,000. Thus, $32,000 – $4,000 or $28,000 equals interest expense for 2010. 21. PepsiCo redeemed (paid) $579 million of long-term debt. Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) 15-3 SOLUTIONS TO BRIEF EXERCISES BRIEF EXERCISE 15-1 Issue Stock Outstanding shares (b) Earnings per share (a) ? (b) $700,000 0 700,000 210,000 $490,000 $700,000 60,000 540,000 162,000 $378,000 700,000 $0. 70 Income before interest and taxes Interest ($2,000,000 X 8%) Income before income t axes Income tax expense (30%) Net income (a) Issue Bond 500,000 $0. 76 Net income is higher if stock is used. However, earnings per share is lower than earnings per share if bonds are used because of the additional shares of stock that are outstanding. BRIEF EXERCISE 15-2 (a) Jan. 1 (b) July 1 (c) Dec. 31 15-4 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable (3,000 X $1,000) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 3,000,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($3,000,000 X 8% X 1/2)†¦Ã¢â‚¬ ¦. 20,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Payable ($3,000,000 X 8% X 1/2)†¦Ã¢â‚¬ ¦. 120,000 Copyright  © 2010 John Wiley & Sons, Inc. 3,000,000 120,000 Weygandt, Accounting Principles, 9/e, Solutions Manual 120,000 (For Instructor Use Only) BRIEF EXERCISE 15-3 (a) Jan. 1 (b) Jan. 1 Cash ($2,000,000 X . 97)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 1,940,000 60,000 Cash ($2,000,000 X 1. 04)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Premium on Bonds Payable †¦.. 2,080,000 2,000,000 2,000,000 80,000 BRIEF EXERCISE 15-4 1. 2. 3. Jan. 1 July 1Sept. 1 Cash (1,000 X $1,000)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 1,000,000 Cash ($800,000 X 1. 02)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Premium on Bonds Payable †¦.. 816,000 Cash ($200,000 X . 98) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 196,000 4,000 1,000,000 800,000 16,000 200,000 BRIEF EXERCISE 15-5 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Loss on Bond Redemption ($1,010,000 – $940,000) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.Cash ($1,000,000 X 101%) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Copyright  © 2010 John Wiley & Sons, Inc. 1,000,000 Weygandt, Accounting Principles, 9/e, Solutions Manual 70,000 60,000 1,010,000 (For Instructor Use Only) 15-5 BRIEF EXERCISE 15-6 (A) Semiannual Interest Period Issue Date 1 Dec. 31 June 30 Cash Payment $48,145 (B) Interest Expense (D) X 5% $30,000 (C) Reduction of Principal (A) – (B) (D) Principal Balance (D) – (C) $18,145 $600,000 581,855 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Mortgage Notes Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 600,000 Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 30,000 18,145 600,000 48,145 BRIEF EXERCISE 15-7 1. 2. Rent Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 80,000 Leased Asset—Building †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Lease Liability†¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 700,000 80,000 700,000 BRIEF EXERCISE 15-8 Long-term liabilities Bonds payable, due 2012 †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Less: Discount on bonds payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Notes payable, due 2015†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Lease liability†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Total long-term liabilities †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 15-6 Copyright  © 2010 John Wiley & Sons, Inc. $500,000 45,000 $455,000 80,000 70,000 $605,000 Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) *BRIEF EXERCISE 15-9 (b) i = 10% ? $10,000 0 1 2 3 4 5 6 7 8 Discount rate from Table 15 A-1 i s . 46651 (8 periods at 10%). Present value of $10,000 to be received in 8 periods discounted at 10% is therefore $4,665. 10 ($10,000 X . 46651). (b) = 8% ? 0 $20,000 $20,000 $20,000 $20,000 $20,000 $20,000 1 2 3 4 5 6 Discount rate from Table 15 A-2 is 4. 62288 (6 periods at 8%). Present value of 6 payments of $20,000 each discounted at 8% is therefore $92,457. 60 ($20,000 X 4. 62288). *BRIEF EXERCISE 15-10 (a) Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Discount on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 46,884 1,884 45,000 (b) Interest expense is greater than interest paid because the bonds sold at a discount which must be amortized over the life of the bonds.The bonds sold at a discount because in vestors demanded a market interest rate higher than the contractual interest rate. (c) Interest expense increases each period because the bond carrying value increases each period. As the market interest rate is applied to this bond carrying amount, interest expense will increase. Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) 15-7 *BRIEF EXERCISE 15-11 (a) Jan. 1 (b) July 1 Cash (. 96 X $5,000,000) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. ,800,000 200,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Discount on Bonds Payable ($200,000 ? 20) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($5,000,000 X 9% X 1/2) †¦Ã¢â‚¬ ¦.. 235,000 5,000,000 10,000 225,000 *BRIEF EXERCISE 15-12 (a) Cash (1. 02 X $3,000,000)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Premium on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 3,060,000 (b) Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Premium on Bonds Payable ($60,000 ? 10)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($3,000,000 X 10% X 1/2) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 144,000 15-8Copyright  © 2010 John Wiley & Sons, Inc. 3,000,000 60,000 6,000 Weygandt, Accounting Principles, 9/e, Solutions Manual 150,000 (For Instructor Use Only) SOLUTIONS FOR DO IT! REVIEW EXERCISES DO IT! 15-1 1. 2. 3. 4. 5. False. Mortgage bonds and sinking fund bonds are both examples of secured bonds. False. Convertible bonds can be converted into common stock at the bondholder’s option; callable bonds can b e retired by the issuer at a set amount prior to maturity. True. True. True. DO IT! 15-2 (a) Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Premium on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. (To record sale of bonds at a premium) 312,000 300,000 12,000 (b) Long-term liabilities Bonds payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Plus: Premium on bonds payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ $300,000 12,000 $312,000 DO IT! 15-3 Loss on Bond Redemption†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢ € ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ (To record redemption of bonds at 99)Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual 6,000 400,000 10,000 396,000 (For Instructor Use Only) 15-9 DO IT! 15-4 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Mortgage Notes Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (To record mortgage loan) Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â ‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ (To record semiannual payment on mortgage) 50,000 350,000 10,500* 7,357 17,857 *Interest expense = $350,000 X 6% X 6/12 DO IT! 15-5 (a) Leased Asset—Equipment †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Lease Liability†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (To record leased asset and lease liability) 192,000 192,000 (b) The debt to total assets ratio = $1,100,000 ? $1,800,000 = 61%. This ratio means that 61% of the total assets were provided by creditors. The higher the percentage of debt to tota l assets, the greater the risk that the company may be unable to meet its maturing obligations. 15-10 Copyright  © 2010 John Wiley & Sons, Inc.Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) SOLUTIONS TO EXERCISES EXERCISE 15-1 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. True. True. False. When seeking long-term financing, an advantage of issuing bonds over issuing common stock is that tax savings result. True. False. Unsecured bonds are also known as debenture bonds. False. Bonds that mature in installments are called serial bonds. True. True. True. True. EXERCISE 15-2 Plan One Issue Stock Income before interest and taxes Interest ($2,700,000 X 10%) Income before taxes Income tax expense (30%) Net income Outstanding sharesEarnings per share Plan Two Issue Bonds $800,000 — 800,000 240,000 $560,000 150,000 $3. 73 $800,000 270,000 530,000 159,000 $371,000 90,000 $4. 12 EXERCISE 15-3 (a) Jan. 1 (b) July 1 (c) Dec. 31 Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 500,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($500,000 X 10% X 1/2)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 25,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 25,000 Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual 500,000 25,000 25,000 For Instructor Use Only) 15-11 EXERCISE 15-4 (a) Jan. 1 (b) July 1 (c) Dec. 31 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 300,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash ($300,0 00 X 8% X 1/2) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 12,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bond Interest Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 12,000 300,000 12,000 12,000 EXERCISE 15-5 (a) Jan. 1 2010 Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 400,000 400,000 (b) July 1 Bond Interest Expense†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.Cash ($400,000 X 9% X 1/2)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 18,000 Bond Interest Expense†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 18,000 18,000 (c) Dec. 31 (d) Jan. 15-12 1 2020 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Copyright  © 2010 John Wiley & Sons, Inc. 18,000 400,000 Weygandt, Accounting Principles, 9/e, Solutions Manual 400,000 (For Instructor Use Only) EXERCISE 15-6 At 100 (a) (1) Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 1,000,000 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 1,000,000 At 98 (2)Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 980,000 20,000 1,000,000 At 103 (3) Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢ € ¦Ã¢â‚¬ ¦.. 1,030,000 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 1,000,000 Premium on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 30,000 Retirement of bonds at maturity (b) Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 1,000,000 1,000,000 Retirement of bonds before maturity at 98 (c)Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 1,000,000 Premium on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 9,000 Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Gain on Bond Redemption †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 980,000 29,000 Convers ion of bonds into common stock (d) Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Common Stock †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Paid-in Capital in Excess of Par Value†¦. Copyright  © 2010 John Wiley & Sons, Inc. 1,000,000 Weygandt, Accounting Principles, 9/e, Solutions Manual 300,000 700,000 (For Instructor Use Only) 15-13 EXERCISE 15-7 (a) (1) 2) Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 485,000 15,000 500,000 Semiannual interest payments ($20,000* X 10) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Plu s: Bond discount†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Total cost of borrowing†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. $200,000 15,000 $215,000 *($500,000 X . 08 X 6/12) OR Principal at maturity †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Semiannual interest payments ($20,000 X 10)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.Cash to be paid to bondholders†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash received from bondholders†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Total cost of borrowing†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (b) (1) (2) Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â ‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Premium on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. $500,000 200,000 700,000 485,000 $215,000 525,000 Semiannual interest payments ($20,000 X 10)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Less: Bond Premium†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Total cost of borrowing†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 500,000 25,000 $200,000 25,000 $175,000OR Principal at maturity †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Semiannual interest payments ($20,000 X 10)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash to be paid to bondholders†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash received from bondholders†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Total cost of borro wing†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 15-14 Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual $500,000 200,000 700,000 525,000 $175,000 (For Instructor Use Only) EXERCISE 15-8 (a) Jan. 1 (b) Jan 1 (c) July 1 Bond Interest Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 2,000 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Loss on Bond Redemption†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($600,000 X 1. 04) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 600,000 24,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($1,000,000 X 9% X 1/2)†¦Ã¢â‚¬ ¦.. 45,000 72,000 624,000 45,000 EXERCISE 15-9 1. 2. 3. June 30 June 30 Dec. 31 Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚ ¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Loss on Bond Redemption ($132,600 – $117,500)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Discount on Bonds Payable ($130,000 – $117,500) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash ($130,000 X 102%)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 130,000 Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.Premium on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Gain on Bond Redemption ($151,000 – $147,000) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash ($150,000 X 98%)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 150,000 1,000 Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Common Stock ($5 X 20* X 30)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Paid-in Capital in Excess of Par Value †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 20,000 15,100 12,500 132,600 4,000 147,000 3,000 17,000 *($20,000 ? $1,000) Note: As per the textbook, the market value of the stock is ignored in the conversion. Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) 5-15 EXERCISE 15-10 Dec. 31 June 30 Dec. 31 2010 Issuance of Note Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Mortgage Notes Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 2011 First Installment Payment Interest Expense ($240,000 X 10% X 6/12) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Second Installment Payment Interest Expense [($240,000 – $8,000) X 10% X 6/12] †¦Ã¢â‚¬ ¦ †¦ Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 240,000 240,000 12,000 ,000 20,000 11,600 8,400 20,000 EXERCISE 15-11 (a) January 1, 2010 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 300,000 300,000 June 30, 2010 Interest Expense ($300,000 X 8% X 6/12)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 12,000 8,000 20,000 December 31, 2010 Interest Expense ($292,000 X 8% X 6/12)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 15-16 Copyright  © 2010 John Wiley & Sons, Inc. 11,680 8,320 Weygandt, Accounting Principles, 9/e, Solutions Manual 20,000 (For Instructor Use Only) EXERCISE 15-11 (Continued) (b) Current: $17,652 [$20,000 – ($283,680 X 8% X 6/12)] + [$20,000 – ($275,027 X 8% X 6/12)] Long-term: $266,028 [($300,000 – $8,000 – $8,320) – $17,652] EXERCISE 15-12 (a) Car Rental Expense†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚ ¬ ¦Ã¢â‚¬ ¦ (b) Jan. 1 500 Leased Asset-Equipment †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Lease Liability †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 4,606 500 74,606 EXERCISE 15-13 Long-term liabilities Bonds payable, due 2015 †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. $180,000 Add: Premium on bonds payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 32,000 Lease liability †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Total long-term liabilities †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ $212,000 89,500 $301,500 Note: Bond Interest Payable is a current liability EXERCISE 15-14 (a) Total assets †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Less: Total liabilities †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Total stockholders’ equity †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (b) Debt to total assets ratio $1,000,000 620,000 $ 380,000 Total liabilities $620,000 = = 62% Total assets $1,000,000 (c) Times interest earned ratio = Net income + Income tax expense + Interest expense Interest expense = Copyright  © 2010 John Wiley & Sons, Inc. $150,000 + $100,000 + $7,000 = 36. 7 times $7,000 Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) 15-17 *EXERCISE 15-15 Present value of principal ($200,000 X . 61391) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Present value of interest ($8,000 X 7. 72173) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Market price of bonds†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. $122,782 61,774 $184,556 *EXERCISE 15-16 a) Jan. 1 (b) July 1 (c) Dec. 31 15-18 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Bond Interest Expense ($562,613 X 5%)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Discount on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash ($600,000 X 9% X 1/2) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Expense [($562,613 + $1,131) X 5%] †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Discount on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Bond Interest Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Copyright  © 2010 John Wiley & Sons, Inc. 562,613 37,387 600,000 28,131 1,131 27,000 28,187 Weygandt, Accounting Principles, 9/e, Solutions Manual ,187 27,000 (For Instructor Use Only) Weygandt, Accounting Principles, 9/e, Solutions Manual *EXERCISE 15-16 (Continued) Copyright  © 2010 John Wiley & Sons, Inc. (b), (c) Semiannual Interest Periods Issue date 1 2 ( A) Interest to Be Paid (4. 5% X $600,000) 27,000 27,000 (B) Interest Expense to Be Recorded (5% X Preceding Bond Carrying Value) (E X . 05) 28,131 28,187 (C) Discount Amortization (B) – (A) 1,131 1,187 (D) Unamortized (E) Discount Bond (D) – (C) Carrying Value 37,387 36,256 35,069 562,613 563,744 564,931 (For Instructor Use Only) 15-19 *EXERCISE 15-17 (a) Jan. (b) July 1 1 (c) Dec. 31 15-20Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Premium on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bond Interest Expense ($318,694 X 5%)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Premium on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash ($300,000 X 11% X 1/2)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Expense [($318,694 – $565) X 5%] †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Premium on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Bond Interest Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Copyright  © 2010 John Wiley & Sons, Inc. 318,694 18,694 300,000 15,935 565 16,500 15,906 594 Weygandt, Accounting Principles, 9/e, Solutions Manual 6,500 (For Instructor Use Only) Weygandt, Accounting Principles, 9/e, Solutions Manual (B) Interest Expense (A) to Be Recorded (C) (D) Semiannual Interest to (5. 0% X Preceding Premium Unamortized (E) Interest Be Paid Bond Carrying Value) Amortization Premium Bond Periods (5. 5% X $300,000) (E X . 05) (A) – (B) (D) – (C) Carrying Value Issue date 1 2 16,500 16,500 15,935 15,906 565 594 18,694 18,129 17,535 318,694 318,129 317,535 *EXERCISE 15-17 (Continued) Copyright  © 2010 John Wiley & Sons, Inc. (b), (c) (For Instructor Use Only) 15-21 *EXERCISE 15-18 (a) Jan. 1 (b) July 1 (c) Dec. 31 (d) Jan. 1Cash ($400,000 X 103%) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Premium on Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. 412,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Premium on Bonds Payable ($12,000 X 1/40) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($400,000 X 9% X 1/2) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 17,700 Bond Interest Expense†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Premium on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 17,700 300 2030 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. 12,000 400,000 300 18,000 18,000 400,000 400,000 *EXERCISE 15-19 (a) Dec. 1 (b) June 30 (c) Dec. 31 (d) Dec. 31 15-22 2009 Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 2010 Bond Interest Expense†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable ($70,000 ? 20) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($800,000 X 11% X 1/2)†¦Ã¢â‚¬ ¦.. 2010 Bond Interest Expense†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Discount on Bonds Payable †¦Ã¢â‚¬ ¦.. Cash ($800,000 X 11% X 1/2)†¦Ã¢â‚¬ ¦.. 2019 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Copyright  © 2010 John Wiley & Sons, Inc. 30,000 70,000 800,000 47,500 3,500 44,000 47,500 3,500 44,000 800, 000 Weygandt, Accounting Principles, 9/e, Solutions Manual 800,000 (For Instructor Use Only) SOLUTIONS TO PROBLEMS PROBLEM 15-1A (a) May 1 (b) Dec. 31 2010 Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bond Interest Payable ($600,000 X 9% X 2/12)†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 600,000 600,000 9,000 9,000 (c) Current Liabilities Bonds Interest Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. $ Long-term Liabilities Bonds Payable, due 2015 †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (d) May 1 e) Nov. 1 (f) Nov. 1 2011 Bond Interest Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Bond Interest Expense ($600,000 X 9% X 4/12) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash†¦Ã¢â‚¬ ¦Ã¢â ‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 9,000 $600,000 9,000 18,000 27,000 Bond Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($600,000 X 9% X 1/2)†¦Ã¢â‚¬ ¦.. 27,000 Bonds Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Loss on Bond Redemption†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash ($600,000 X 1. 02) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 600,000 12,000 Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual 27,000 612,000 (For Instructor Use Only) 15-23 PROBLEM 15-2A (a) Jan. 2010 Cash ($500,000 X 1. 04) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Premium on Bonds Payable †¦Ã¢â‚¬ ¦. 520,000 500,000 20,000 (b) Current Liabilities Bond interest payable ($500,000 X 10% X 1/2) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã ¢â‚¬ ¦. Long-term Liabilities Bonds payable, due 2020†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Add: Premium on bonds payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. (c) Jan. 1 2012 Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Premium on Bonds Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Loss on Bond Redemption †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ Cash ($500,000 X 1. 05) †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. $ 25,000 $500,000 18,000 $518,000 500,000** 16,000** 9,000* 25,000 *($525,000 – $516,000) 15-24 Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) PROBLEM 15-3A (a) Semiannual Interest Period Cash Payment Issue Date 1 2 3 4 (b) Dec. 31 June 30 Dec. 31 $29,433 29,433 29,433 29,433 Interest Expense $16,000 15,463 14,904 14,323 Reduction of Principal Principal Balance $13,433 13,970 14,529 15,110 $400,000 386,567 372,597 358,068 342,958 2009 Cash †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Mortgage Notes Payable†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 400,000 2010 Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦..Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ 16,000 13,433 Interest Expense †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦.. Mortgage Notes Payable †¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦. Cash†¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦Ã¢â‚¬ ¦ (c) 400,000 29,433 15,463 13,970 29,433 12/31/10 Current Liabilities Current portion of mortgage notes payable $ 29,639** Long-term Liabilities Mortgage notes payable, due 2019 $342,958** **($14,529 + $15,110) **($372,597 – $14,529 – $15,110) Copyright  © 2010 John Wiley & Sons, Inc. Weygandt, Accounting Principles, 9/e, Solutions Manual (For Instructor Use Only) 15-25