Long-Term Liabilities
Types of Bonds
Issuing Bonds
Bond Amortization
James Bond
100
Used during periods of unstable interest rates
What is long-term notes payable
100
An asset is used as collateral
What is a secured bond
100
Where a bond is issued at 100% face value
What is issued at face value
100
This method uses a constant depreciation rate
What is straight line method?
100
James Bond's boss.
Who is M?
200
Operating and capital leases
What are the two main types of lease liabilities
200
Where payment is due on one date
What is a term bond
200
Where a bond is issued at less than face value
What is issued at discount
200
This method is popularly used for pensions, mortgages and leases
What is Effective Interest Method?
200
Played James in the latest installment of the series.
Who is Daniel Craig?
300
A type of lease that refers to the temporary use of property by lease
What is an operating lease
300
All bond owner's information is known
What is a registered bond
300
Where a bond is issued at more than face value
What is issued at premium
300
A discount is allocated to each accounting period that benefits from the cash proceeds
What is the matching principle?
300
Secretary to M.
Who is Miss Moneypenny?
400
Recorded under capital assets on the balance sheet
What is a leased asset
400
Can be changed into shares in the company
What is a convertible bond
400
Savings involved with issuing a bond
What is tax savings
400
Bond Interest Payable increases to meet the face value of the bond.
What is amortization of bond discount?
400
Singer of theme song to "Die Another Day"
Who is Madonna?
500
A lease contract that transfers the benefits and risks of ownership to the lessee when a purchase of property occurs
What is a capital lease
500
Can be redeemed by the bondholder
What is a retractable bond
500
Full control of the company is retained by who when issuing a bond
Who are the shareholders
500
Using this method allows the interest expense as a percentage of the carrying value to remain constant.
What is Effective Interest Method?
500
The first 007.
Who is Sean Connery
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