On April 1, 2020, Purefoods Company purchased a bond for P910,000 including accrued interest and commission. The com to acquire the bonds was P5,000. The bonds are dated January 1, 2020 mature on January 1, 2025, and pay interest semi-annually on January 1 1. On December 31, 2020, the bonds had a fair value of P920,000. On 2021, Purefoods sold the bonds for a total consideration of P950,000.

On April 1, 2020, Purefoods Company purchased a bond for P910,000 including accrued interest and commission. The com to acquire the bonds was P5,000. The bonds are dated January 1, 2020 mature on January 1, 2025, and pay interest semi-annually on January 1 1. On December 31, 2020, the bonds had a fair value of P920,000. On 2021, Purefoods sold the bonds for a total consideration of P950,000.

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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