On October 1, 2021, Best Company purchased as debt investments at fair value through profit or loss, P100,000, 14% bonds for 99 plus accrued interest and broker's fees.  Interest is paid semi-annually on February 1 and August 1. What amount of interest revenue did Best Company report for the year ended Dec. 31, 2021

Q: Grocery Corporation received $300,328 for 11 percent bonds issued on January 1, 2021, at a mar­ket…

A: Bonds are a type of borrowing in which the issuer accepts cash from bondholders in exchange for a…

Q: On January 1, 2021, Lyle’s Limeade issues 4%, 10-year bonds with a face amount of $90,000 for…

A:

Q: On April 1, 2019, Padayon Co. acquired a 5-year bond with a face value of P1,200,000 and stated…

A: Under ACM bo d should  be  measured  at fairvalue after adjusting  transaction costs

Q: Brimfest Corporation issued $2,400,000, 10-year, 6% bonds for $2,352,000 on January 1,2019. Interest…

A: Given information is: Brimfest Corporation issued $2,400,000, 10-year, 6% bonds for $2,352,000 on…

Q: On July 1, 2018, McNamara Company issued for $598,964, 10%, 20-year bonds with a face value of…

A: When bonds are issued at premium the premium on bonds payable is amortized over the life of the…

Q: On January 1st, 2021, Lemon Corporation issued $800,000 of 20 year 10% bond at 104. Interest was…

A: Bonds are a form of loan or debt issued by the company, on which it has to make interest payments.…

Q: Record the purchase of the bonds. 2. Prepare an investment interest income and discount amortization…

A: 1. Below is the Journal Entry for the Purchase of the Bonds Date  Particulars   Debit   Credit…

Q: On July 1, 2021, Dreeben Company acquired P600,000 (face value), 10%, P1,000 bonds at 99 plus…

A: As Given in the question Dreeben Company purchased P 600,000 (face value) at  10%, P 1,000 bonds at…

Q: On January 1, 2020, Sheridan Company sold to Carla Vista Co. $780000 of its 8% bonds for $690531 to…

A: Bonds are considered a financial instrument used to raise finance for the organization. It is also…

Q: at 95. T

A: The journal entries and bonds payable as,

Q: Grocery Corporation received $330,654 for 9.50 percent bonds issued on January 1, 2021, at a market…

A: Bonds can be bought and sold on the bond market, which is a marketplace where investors and traders…

Q: The Golden Company issues $539,000 of 7%, 10-year bonds at 104 on March 31, 2019. The bonds pay…

A: An interest-bearing bond is a type of debt security issued by a borrower, typically a corporation or…

Q: On November 1, 2018, Sigma Inc. invests in $1,000,000 of 5%, 10-year bondsissued by Microsoft…

A: Correct Option is “a”: Interest Revenue. After Investing in November 2018, the interest revenue will…

Q: Journal entry to record the second period of interest, June 30,  Matrix would record a credit to…

A: Given information is: On January 1, 2019, Matrix, Inc. purchased as an investment OMR 22,000, of 9%,…

Q: On July 1, 2018, ABC Co. issued $6,000,000, 6%, 4-year bonds. The bonds were sold to yield an…

A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…

Q: On January 1, 2021, Sunland Company sold $4900000 of its 10% bonds for $4337950 to yield 12%.…

A: $4,337,950 is the present value of bond. Yield is 12 %, semiannually.

Q: On January 1, 2021, Daniel Corp. issued $500,000 of 10-year, 8% bonds for $385,298, yielding a…

A: Bonds payable refer to financial instruments which can be issued to raise capital. Bonds are issued…

Q: On October 1, 2021, Best Company purchased as debt investments at fair value through profit or loss,…

A:

Q: Mcdonaugh Corporation issued $250,000 of 5%, 10-year bonds payable onJanuary 1, 2019. The market…

A: Bonds Payable: Bonds payable is a liability account that contains the amount owed to bondholders by…

Q: In 2021 and 2022, Norman Company had the following transactions related to investments in bonds.2021…

A: Adjusting entries are journal entries made at the end of an accounting period to update accounts for…

Q: On June 1, 2020, LM company purchased debt investment at amortized cost, 8,000 of P1,000 face value…

A: Investment in bonds: Investment in bonds is the scenario where the company acquires bonds either at…

Q: On July 1, 2018, ABC Co. issued S6,000,000, 6%, 4-year bonds. The bonds were sold to yield an…

A: Journal: It is the first step of recording financial transactions. It is used to prepare the…

Q: On May 1, 2021, Bramble Corp. purchased $1,580,000 of 12% bonds, interest payable on January 1 and…

A: Bonds are considered a financial instrument used to raise finance for the organization. It is also…

Q: Kitkat Company issued a P5,000,000, 10% 10-year bonds on July 1, 2021 for 113 when the effective…

A: Issue value of bonds = Face value of bonds x issue price/100 = P5,000,000 x 113/100 = P5,650,000

Q: ration issued $500,000

A: Non current liabilites are those liabilites that are not due for atleast one year.Current liabilites…

Q: For ABC Co. answer the following independent requirements: a. Prepare the necessary journal entry on…

A: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you. To get…

Q: Jorge Corp issued $550,000 of​ 6%, 10−year bonds on January​ 2, 2018 for $540,000. In​ addition, the…

A: Bonds payable are a long-term debt which is issued by a company with a promise to pay the interest…

Q: Perez Company sold five-year, 8% bonds on October 1, 2021. The face amount of the bonds was…

A: The bonds can be defined as the debt instruments issued by the corporation of the government…

Q: On January 1, 2019, Rodgers Company purchased

A: If bond is purchased at the price blow its face value then it is called as…

Q: On April 1, 2021. Marigold Corporation issued $352.000,5-year bonds. On this date, Shoreline…

A: The question is based on the concept of Financial Accounting. As per the Bartleby guidelines we are…

Q: Compute the December 31, 2020, amount of equity. Compute the debt to assets ratio at December 31,…

A: Hi student Since there are multiple questions, we will answer only first question. For first…

Q: On January 1, 2019, Black Corporation issued P6, 000,000 of 7% bonds, due in 10 years. The bonds…

A: A bond is basically an interest-bearing loan instrument that is issued by the companies in order to…

Q: Tudor Company acquired $500,000 of Carr Corporation bonds for $487,706.69 on January 1, 2019. The…

A:

Q: Grocery Corporation received $316,189 for 9.00 percent bonds issued on January 1, 2021, at a market…

A: The answer of the above question is in the Next Step