10. At December 31, 2020, Roosevelt Corporation owed a note payable of P2,000,000 maturing on April 30, 2021. These notes did not arise from transactions in the normal course of business. On February 1, 2021, Roosevelt issued P4,000,000 of ten- year bonds with the intention of using part of the bond proceeds to liquidate the P2,000,000 of notes payable. Roosevelt's December 31, 2020 financial statements were issued on March 29, 2021. How much should be classified as a current liability in Roosevelt's statement of financial position at December 31, 2020 in relation to this note? *
10. At December 31, 2020, Roosevelt Corporation owed a note payable of P2,000,000 maturing on April 30, 2021. These notes did not arise from transactions in the normal course of business. On February 1, 2021, Roosevelt issued P4,000,000 of ten- year bonds with the intention of using part of the bond proceeds to liquidate the P2,000,000 of notes payable. Roosevelt's December 31, 2020 financial statements were issued on March 29, 2021. How much should be classified as a current liability in Roosevelt's statement of financial position at December 31, 2020 in relation to this note? *
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
Chapter14: Financing Liabilities: Bonds And Long-term Notes Payable
Section: Chapter Questions
Problem 5P: Bats Corporation issued 800,000 of 12% face value bonds for 851,705.70. The bonds were dated and...
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