BE17.4 - Using Excel to Prepare Entries for Debt Investments PROBLEM Hendricks Corporation purchased trading investment bonds at par. Student Work Area Required: Provide input into cells shaded in yellow in this template. Use cell references to the Problem area, with mathematical formulas to calculate any amounts not given. Purchase price of bonds $ 50,000 The following data was provided by Hendricks at December 31. Prepare Hendricks' joumal entries for: (a) The purchase of the investment (b) The interest received (c) The fair value adjustment Annual interest received $ 2,000 Fair value of the bonds 47,400 A zero balance exists in the Fair Value Adjustment account before the above activity. Debit Credit (а) Debt investments 50,000 Cash 50.000

BE17.4 - Using Excel to Prepare Entries for Debt Investments PROBLEM Hendricks Corporation purchased trading investment bonds at par. Student Work Area Required: Provide input into cells shaded in yellow in this template. Use cell references to the Problem area, with mathematical formulas to calculate any amounts not given. Purchase price of bonds $ 50,000 The following data was provided by Hendricks at December 31. Prepare Hendricks' joumal entries for: (a) The purchase of the investment (b) The interest received (c) The fair value adjustment Annual interest received $ 2,000 Fair value of the bonds 47,400 A zero balance exists in the Fair Value Adjustment account before the above activity. Debit Credit (а) Debt investments 50,000 Cash 50.000

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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