The Following Partial Amortization Schedule Is Available for Courtney Company

question 207

Multiple Choice

The following partial amortization schedule is available for Courtney Company who sold $500,000, five-year, 10% bonds on January 1, 2014 for $520,000 and uses annual straight-line amortization. Which of the following amounts should be shown in cell (ii) ?

• A) $54,000
• B) $46,000
• C) $52,000
• D) $40,000

---

Definitions:

Accounting Trends

Emerging patterns or changes in accounting practices, including the adoption of new standards, technologies, or methodologies in financial reporting.

Report Form

A format of presenting a balance sheet where the assets are listed above the liabilities and equity sections, providing a vertical snapshot of a company's financial position.

Financial Position Form

A formal document that summarizes the assets, liabilities, and equity of an organization at a specific point in time, showing the financial status of the organization.

Balance Sheet Accounts

Represent the financial positions of assets, liabilities, and equity of a company at a specific point in time as recorded on the balance sheet.