What kinds of industries have unearned revenue? Why unearned revenue is considered a liability? When is the unearned revenue identified in the financial statements?
Explain why do companies issue bonds? Would you instead buy a bond at a discount or a premium rate? Why? What is the determining factor of whether a bond is sold at a discount, face or premium?
Describe the straight-line method of amortizing discount and premium on bonds payable? Give an elucidation of the process.
How would you explain the accounting procedures for notes payable and accounts payable?