If the bonds are classified as FA@FVTOCI, what is the amount to be recognized as fair value adjustment loss in the 2020 other comprehensive income of the entity? 2.) If the entity sold the investment on Dec. 31, 2020 at fair value and bonds are classified as FA@FVTOCI, what will be the reclassification adjustment to be reported by the entity?

Q: On January 1, 2020, MNOCompany issued its 9%, P2 million bonds, which mature on January 1, 2030. The…

A:

Q: On January 1, 2019, Shrimp Company issued its 9% P9,000,000 face value bonds, which matures on…

A:

Q: On January 1, 2020, ABC Company issued 5,000 of its 12%, P1,000 face value bonds for P5,350,000…

A: Accrued Interest on Bond: Accrued interest is the amount of interest earned on a debt(Bond) which is…

Q: On 3/1/2020, Taft Corporation issues 17-year bonds, dated 1/1/2020, with a par value of $300,000.…

A: Bonds payable is the liability recorded when the company generates cash by issuing the bonds.…

Q: Loop Raceway issued 700 bonds, each with a face value of $1,000, a stated interest rate of 6 percent…

A: Bonds that have an amortized face value are ones that pay interest in addition to regular payments…

Q: On September 30, 2018, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of…

A: Given information is: On September 30, 2018, the San Fillipo Corporation issued 8% stated rate bonds…

Q: On January 1, 2023, Bridgeport Corporation purchased a newly issued $1,250,000 bond. The bond…

A: The price of a bond is equal to the sum of the present value of coupon payments and the present…

Q: A company issues P5,000,000, 7.8%, 20-year bonds to yield 8% on January 1, 2022. Interest is paid on…

A: Formula: Semiannual interest payment = Face value of bonds x rate of interest x no. of months / 12…

Q: The entity purchased 6,000,000 12% bonds on January 1,2021. The interest is payable annually. The…

A: The carrying value of a bond is computed by adding an unamortized premium or subtracting the…

Q: A company issues $16700000, 9.8%, 20-year bonds to yield 10% on January 1, 2022. Interest is paid on…

A: Bond :— It is one of the type of securities that pays fixed periodic interest and face value amount…

Q: 21.Refer to the information in Question No. 20. How much is the interest income for the year 2022?…

A: This post has several questions. Q21 has been answered below:

Q: On June 30, 2024, Single Computers issued 8% stated rate bonds with a face amount of $100 million.…

A: Issue price of a bond means the price at which the bond is issued. It can be issued at par, premium…

Q: inson Corporation issued $600,000 of 7%, 10-year bonds payable on March 31, 2022. The market…

A: Bonds are a type of loan that is, obtained by company in exchange of predetermined rate of interest…

Q: On January 1, 2020, Apple Co. purchased held-for-collection and sales bonds par value $2,000,000, 9%…

A: Bond valuationwhen the market interest rate is higher than the coupon interest rate, then the bond…

Q: On January 1, 2020, Alaska Corporation purchased P1,000,000 10% bonds for P1,051,510 (including…

A: Solution: Cost of bond = P1,051,510 Market interest rate = 9% Stated rate = 10% Face value =…

Q: Bonds with a stated interest rate of 9% and a face value totaling $626,000 were issued for $651,040…

A: BOND  Bond is a Financial Securities which is Generally Issued by the Corporation's, Government…

Q: On January 1, 2018, Watch Works Incorporated (wWI) issued $77,000 par value, 8%, four-year bonds…

A: Bond valuation refers to a method which is used to compute the current value or present value (PV)…

Q: Bonds with a stated interest rate of 9% and a face value totaling $632,000 were issued for $657,280…

A: Bond amortization refers to the value which is paid at every period including the amount of…

Q: Reporting Bonds Using the Fair Value Option Mitchell Inc. issued 24, 6%, $1,000 bonds on January 1,…

A: Introduction:A journal entry is a record of a business arrangement in the accounting system of a…

Q: Oriole SpA issued €400,000, 7%, 20-year bonds on January 1, 2020, for €360,727. This price resulted…

A: Effective Interest Method: It is an accounting method that helps in calculating the discount on…

Q: On June 30, 2024, Single Computers issued 8% stated rate bonds with a face amount of $100 million.…

A: Bonds payable is a type of instrument where by an amount is borrowed for a fixed period with fixed…

Q: a. Matthew Young Co. sold $1,890,000 of 12%, 10-year bonds at 105 on January 1, 2025. The bonds were…

A: Since you have posted multiple questions, we can only provide the solution to the first question…

Q: On September 30, 2021, the San Fillipo Corporation issued 8% stated rate bonds with a face amount of…

A: Calculate the present value of the principal amount as shown below:

Q: On July 1, 2022, Free Compnay issued for $438,000, 500 of its 8%, $1000 bonds. The market rate when…

A: The bonds are the financial instruments that are used to raise money from the market or investors.…

Q: Quick Lane Auto Service issued $50,000, 10-year bonds on January 1, 2021. of interest on the bonds…

A: Bonds payable are always recorded at the par value of the bonds. Discount or premium on bonds…

Q: (The following information applies to the questions displayed below.] On January 1, 2019, Drennen…

A: Assets =Liabilities +Stockholders' EquityNet Income=Revenues -Expenses

Q: 1. What is the carrying amount of the bonds payable on December 31,2020? A. 5,450,000 B. 4,830,000…

A: Bonds payable is one of the form of liability being incurred in business, on which regular interest…

Q: On June 30, 2024, Gunderson Electronics issued 8% stated rate bonds with a face amount of $300…

A: A bond is a fixed income security which offers the investor a fixed set of periodic coupon payments…

Q: please step by step answer.

A: Step 1: To find the carrying value of the bonds on December 32, 2026, we need to calculate the…

Q: On January 1, 2021, Jackie Company issued P8,000,000 8% eight-year bonds. Similar bonds had an…

A: The carrying value of bonds refers to the amount shown as liability by issuer in accounting records…

Q: Lord Corporation acquired bonds with a face value of P3,000,000 for P2,800,000 on January 1, 2020.…

A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…

Q: cel to calculate the issue price of the bonds.

A: Issue price or value of a bond is the present value of all the future cash flows associated with the…

Q: On July 1, 2020, Kwek-kwek Company issued 600 of its 10%, P1,000 bonds at 99 plus accrued interest.…

A: The bonds are issued at premium or discount depending on the market rate of interest of bonds.

Q: On January 1, 2020, ABC Company issued its 9%, P2 million bonds, which mature on January 1, 2030.…

A: Date  Account Titles & Explanation   Debit   Credit  January 1, 2020  Cash   P18,78,000…

Q: On June 30, 2021, the market interest rate is 5%. Champs Corporation issues $600,000 of 10%, 30-year…

A: Par value = $600,000Coupon rate = 10%Period = 30 yearsMarket rate of interest = 5%

Q: On January 1, 2021, Solis Co. issued its 10% bonds in the face amount of P3,000,000, which mature on…

A: Bonds are an obligation on an entity which is to be repaid on its maturity date. These are issued…

Q: Virginia Vista Company has 4%, 10-year bonds payable that mature on June 30, 2028. The bonds are…

A: Req-1   If the market interest rate is 2%, the bonds will be issued at Premium If the market…

Q: On September 30, 2024, the Techno Corporation issued 8% stated rate bonds with a face amount of $280…

A: Bonds payable refers to a type of long-term debt that a company or organization issues to borrow…

Q: On June 30, 2021, the market interest rate is 10% Team Corporation issues $500.000 of 11%, 25-year…

A: Bond: A bond is a type of debt obligation where the borrower is required to repay the principal…

Q: On December 31, 2021, Interlink Communications issued 8% stated rate bonds with a face amount of…

A: n= 30 years i= 9%   Cashflow Amount Present value factor@9% Present value Interest…

Q: Oriole SpA issued €400,000, 7%, 20-year bonds on January 1, 2020, for €360,727. This price resulted…

A: Bonds are a form of liability for the business, on which regular interest payments needs to be made…

Q: Flint Corporation sold $3,050,000, 6%, 5-year bonds on January 1, 2025. The bonds were dated January…

A: Step 1: Introduction to bonds payableBonds payable refers to a type of long-term debt that a company…