ANSWER 24 AND 26 ONLY On January 1, 2019, YOU TOO Corporation purchasedP1,000,000 10% bonds classified as FA@AC. The bondswere purchased to yield 12%. Interest is payable annuallyevery December 31. The bonds mature on December 31,2023. On December 31, 2019 the bonds were selling at99. On December 31, 2020, YOU TOO sold P500,000 facevalue bonds at 101. The bonds were selling at 103 onDecember 31, 2021.23. How much is the gain on sale of the investment inbonds in 2020?a. P41,060b. P29,010c. P35,387d. P10,00024. If the entity reclassified the bonds as FA@FVTPL afterthe sale, how much should be recognized in profit orloss on reclassification date?a. P39,010b. P29,010c. P31,895d. P 0 If the entity reclassified the bonds as FA@FVTOCI afterthe sale, how much should be reported as separatecomponent of equity at December 31, 2020?a. P39,010b. Р29,010c. P31,895d. P0If the entity reclassified the bonds as FA@FVTOCI afterthe sale, how much should be reported as separatecomponent of equity at December 31, 2021?а. Р39,010b. P29,010c. P31,895d. P

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

On January 1, 2019, YOU TOO Corporation purchased P1,000,000 10% bonds classified as FA@AC. The bonds were purchased to yield 12%. Interest is payable annually every December 31. The bonds mature on December 31, 2023. On December 31, 2019 the bonds were selling at 99. On December 31, 2020, YOU TOO sold P500,000 face value bonds at 101. The bonds were selling at 103 on December 31, 2021.