Pinas Corporation issued 16% p.a., 10-year Debenture bond, P6,000 face value, interest due every 4 months. On March 31, Fely purchased 20 bonds at par. On May 1, she sold 8 bonds to Pinky at 105-3/4. Again in September 30, Fely sold another 6 bonds to Bingbing at 96-1/2.  Required: Assuming when the bond is offered to Bing-bing, it has a remaining life 4 years. Bingbing required rate of return for her bond investment is 18% p.a.: a. Compute for the value of each bond? How much is the total value of the bonds offered? b. Based on the offered price, what is the bond approximate yield to maturity? c. Would you recommend to Bing-bing to buy the bonds? Why?

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Q: On January 1, a company issued and sold a $320,000, 5%, 10-year bond payable, and received proceeds…

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Q: nas Corporation issued 16% p.a., 10-year Debenture bond, P6,000 face value, interest due every 4…

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A: Journal: Recording of a business transactions in a chronological order.

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Q: Pinas Corporation issued 16% p.a., 10-year Debenture bond, P6,000 face value, interest due every 4…

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