30. On January 1, 2023, AAA Company issued as amortized cost P5,000,000 face value,8% bonds for P4,562,000. The bonds were issued to yield 10%. The bonds mature on January 1, 2028 and pay interest annually on December 31. AAA uses the interest method of amortization. What is the carrying amount of the bonds payable on December 31, 2024?

30. On January 1, 2023, AAA Company issued as amortized cost P5,000,000 face value,8% bonds for P4,562,000. The bonds were issued to yield 10%. The bonds mature on January 1, 2028 and pay interest annually on December 31. AAA uses the interest method of amortization. What is the carrying amount of the bonds payable on December 31, 2024?

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

Chapter13: Investments And Long-term Receivables

Section: Chapter Questions

Problem 1MC

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