Brief Exercise 9-14 Concord Ltd. has a single debt investment that it accounts for using FV-OCI recycled to net income. The carrying value of the debt investment on July 1 after the collection of interest and amortization of premium was $85,580. To date, $1,290 of unrealized losses in fair value adjustments have been recorded to other comprehensive income. On July 1, when the market value of the investment is $85,110, Gauthier sold the debt investment. Using the three-step approach, record the July 1 entries for the sale and reclassification (recycling) entry to net income. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit (To adjust to fair value at date of disposal) (To record disposal)

Brief Exercise 9-14 Concord Ltd. has a single debt investment that it accounts for using FV-OCI recycled to net income. The carrying value of the debt investment on July 1 after the collection of interest and amortization of premium was $85,580. To date, $1,290 of unrealized losses in fair value adjustments have been recorded to other comprehensive income. On July 1, when the market value of the investment is $85,110, Gauthier sold the debt investment. Using the three-step approach, record the July 1 entries for the sale and reclassification (recycling) entry to net income. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit (To adjust to fair value at date of disposal) (To record disposal)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter9: Long-term Liabilities

Section: Chapter Questions

Problem 22CE: Cornerstone Exercise 9-22 Reporting Long-Term Debt on the Balance Sheet Dennis Corp. has the...

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