37. On January 1, 20x1, Impressed Co. acquired 8%, P1,000,000 face amount, 4-year 'term' bonds for P936,603. The bonds are measured at amortized cost and have a yield rate of 10%. How much is the carrying amount of the investment on December 31, 20x2? a. 1,000,000 b. 950,263 c. 965,289 d. 981,818

37. On January 1, 20x1, Impressed Co. acquired 8%, P1,000,000 face amount, 4-year 'term' bonds for P936,603. The bonds are measured at amortized cost and have a yield rate of 10%. How much is the carrying amount of the investment on December 31, 20x2? a. 1,000,000 b. 950,263 c. 965,289 d. 981,818

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

37. On January 1, 20x1, Impressed Co. acquired 8%, F1,000,000 face amount, 4-year
'term' bonds for P936,603. The bonds are measured at amortized cost and have
a yield rate of 10%. How much is the carrying amount of the investment on
December 31, 20x2?
a. 1,000,000
b. 950,263
c. 965,289
d. 981,818

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