July 1, 2021, Top Company purchased as a long term investment in Hill Company's ten-year 12% bonds with a face amount of P 5,000,000 for P 4,760,000. Interest is payable semiannually on January 1 and July 1. The bond mature on July 1, 2022. Top Company uses the straight line method of amortization The journal entry on July 1, 2021 would be:
July 1, 2021, Top Company purchased as a long term investment in Hill Company's ten-year 12% bonds with a face amount of P 5,000,000 for P 4,760,000. Interest is payable semiannually on January 1 and July 1. The bond mature on July 1, 2022. Top Company uses the straight line method of amortization The journal entry on July 1, 2021 would be:
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter13: Investments And Long-term Receivables
Section: Chapter Questions
Problem 3MC: On July 1, 2019, Aldrich Company purchased as an available-for-sale security 200,000 face value, 9%...
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![24. July 1, 2021, Top Company purchased as a long term investment in Hill Company's ten-year 12% bonds with a face
amount of P 5,000,000 for P 4,760,000. Interest is payable semiannually on January 1 and July 1. The bond mature on
July 1, 2022. Top Company uses the straight line method of amortization
The journal entry on July 1, 2021 would be:](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F74b2ab49-d905-4654-b200-85ed16d319b5%2F2457553d-7ce4-4854-b6b2-12f629a52145%2Fg978b17_processed.jpeg&w=3840&q=75)
Transcribed Image Text:24. July 1, 2021, Top Company purchased as a long term investment in Hill Company's ten-year 12% bonds with a face
amount of P 5,000,000 for P 4,760,000. Interest is payable semiannually on January 1 and July 1. The bond mature on
July 1, 2022. Top Company uses the straight line method of amortization
The journal entry on July 1, 2021 would be:
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