On July 1, 2019, Cody Company paid P1,198,000 of 10%, 20 year bonds with face amount of P1,000,000. Interest is paid on June 30 and December 31. The bonds were purchased to yield 8%. The effective interest method is used to recognize interest income from this long-term investment. What is the carrying amount of the investment in Bonds on December 31, 2019?

Q: When a contingent liability exists, the likelihood for loss can be evaluated as probable, reasonably…

A: A contingent liability is the possible obligation which will only be confirmed by future event which…

Q: Montello Inc. purchases a delivery truck for $14,000. The truck has a salvage value of $2,000 and is…

A: Only first year's miles driven is given. So, Depreciation is calculated only for first year

Q: Waterways has discovered that a small fitting it now manufactures at a unit cost of $1.00 could be…

A: Working Note: Purchasing Cost = No. of units needed x Purchasing Cost per unit = 465,000 units x…

Q: Bee Company's net income for 2018, 2019, and 2020 were P100,000; P145,000; and P185,000…

A: If there were any omissions, determine it pertains to an accrual or deferral of an asset or…

Q: Anderson Foods produces spécialty soup sold in jars. The projected sales in dollars and jars for…

A: Formula: Desired ending inventory  =Following month sales  units x 25% Beginning inventory = Current…

Q: The company reported a current ratio of 2.1 and 2.22 as of December 31, 2020 and December 31, 202…

A: Liability is an obligation that an entity has to pay on some future date.

Q: Coke and Pepsi are well-known international brands. Coca-Cola Co. sells more than $34.5 billion each…

A: The profitability ratio represents the profit of the company relative to the balance sheet, income,…

Q: The Verry Place (VP), open 365 days a year, consists of 100-room hotel with a 50-seat restaurant…

A: 1. Determination of forecast for room sale in June 20X1   A B C D A×B×C×D Type No of rooms…

Q: revenue yable-bank yable (b) nclude two se 0% poto iccus

A: Current Liabilities:

Q: You purchase a mutual fund at an offer price of $11.77 per share. If the net asset value is $11.28,…

A: Calculation of sale charge are as follows

Q: Contina Co. owed Maunlad Bank a P3,000,000, three-year, 10% note payable dated January 1, 2012. The…

A: Restructuring in Notes Payable For the Restructuring of the Debt which are provided by the financial…

Q: * What is the effect of the errors on the working capital of 2020? Put a negative sign if the answer…

A: The effect of the errors on the working capital is the difference between current assets and current…

Q: 17. Jolo Corporation wants to revise the sales commission payment scheme. Currently, the 4 sales…

A: Lets understand the basics. For calculating indifference point between two option we need to use…

Q: FG Corporation has a debt to equity ratio of 1.75x compared with the industry average of 1.84x.…

A: Debt to equity ratio is a metric to measure the solvency position of the business. The long-term…

Q: During the year ended December 31, 2021, Angel Company revealed the following events: a) A counting…

A: Prior period adjustments mean the correction of the accounting errors and omissions that are…

Q: ncipal Resid He paid $28

A: Calculation of Net sale price as, = Sale price - Selling expenses. Calculation of Net sale price=…

Q: For items 22 to 24: The Warner Company sells its only pro the variable costs amount to P21 per unit.…

A: Break even point means the situation where there is no profit no loss. It means that a point where…

Q: structions The cash account for Norwegian Medical Co. at April 30 indicated a balance of $82.726.…

A: The bank reconciliation statement is prepared to equate the balances of cash book and pass book with…

Q: - Bianca Capital issued 500, $1,000 convertible bonds at 103. Each bond will be converted to 10…

A: Bonds are high-risk financial instruments that allow a corporation to raise funds and fulfill…

Q: • Bianca Capital issued 500, $1,000 convertible bonds at 103. Each bond will be converted to 10…

A: Routine transactions, such as customer charges and supplier invoicing, should not be recorded using…

Q: What is the effect of the errors on the working capital of 2020? Put a negative sign if the answer…

A: The effect on working capital simply means, the net effect on current assets and current liabilities…

Q: The income statements for Federer Sports Apparel for 2022 and 2021 are presented below. Required:…

A: The horizontal analysis is performed to compare the results of two different years.

Q: Which statement is most TRUE regarding Corporate Social Responsibility (CSR) Reporting as of April,…

A: Answer:-  CSR meaning:- Corporate social responsibility is a  kind of business paradigm in which…

Q: The following information is about the cash balances for Mooner Sooner Inc.: Company balance: $5,020…

A: The bank reconciliation statement is prepared to balance the passbook and company book accounts with…

Q: cost for this bracelet is $265.00 as shown below: $146 Direct materials. Direct labor 80…

A: The question is based on the concept of Cost Accounting.

Q: After learning how to value a stock in his Corporate Finance class, Mark Stark decided to put his…

A: The constant growth rate model determines the cost of capital by assuming that the dividend will…

Q: Shock Company manufactures electronic equipment. The following is a summary of its basic cost and…

A: Operating income  = Total contribution  - Fixed cost

Q: The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account…

A: In preparation of closing journal entries all temporary accounts are transferred Permanent accounts.…

Q: #1. A technique to evaluate each item in a financial statement as a percent of a base amount or item…

A: THE ANSWER FOR QUESTION 1  = VERTICAL ANALYSIS

Q: -1,000 -1,200 -1,300

A: Given; First cost of equipment= $17500 Year Operating cost Salvage value 1 -1000 7000 2…

Q: Project A - Expected P5,000,000. Costs in

A: The total cost of production of a good comprises of the total fixed cost of production and the total…

Q: Which of the following is NOT a component of Accumulated Other Comprehensive Income? A. Gains or…

A: The correct option with proper explanation are as follows.

Q: Delata Corporation bought a condominium unit for P6,000,0000. The fair market value of the property…

A: GIVEN   Delata Corporation bought a condominium unit for P6,000,0000. The fair market value of the…

Q: 38. The company decides to purchase the part for P8 per unit from another supplier and rents its…

A: Increase (decrease) in costs on purchasing from supplier = (Purchase costs per unit - Relevant…

Q: Hig 03 2001dua anw blos nos srl 00S nl aslensa sib no flig to 000.c seol 10 nisg having and r ecutor…

A: Basis in each share of stock = $5000/ 200 shares = $25 per share

Q: [The following information applies to the questions displayed below.] Kase, an individual, purchased…

A: Kase's realized gain or loss, recognized gain or loss, and basis in the North Carolina property:…

Q: On January 1, 2022, Fancy Co issued $100,000 in 10 year bonds. The bonds have a stated rate of 5%…

A: This question relates to bond amortization journal entries.

Q: Suppose you own a mutual fund which has 13,000,000 shares outstanding. If its total assets are…

A: Calculation of net assets value are as follows

Q: During 2021, Bondoc Corporation acquired a mineral mine for P900,000 of which P150,000 was ascribed…

A: Depletion of mine will be on the basis of amount of mineral extracted during the period. Accumulated…

Q: How would a Dividend that is declared but not yet paid be treated at year end for financial…

A: Dividends are the amounts which are paid in consideration to the amount contributed in the company.…

Q: What is the least appropriate explanation for the activity ratio?   1.If a company's resources are…

A: ACTIVITY RATIO IS USED TO MEASURE THE PERFORMANCE OF COMPANY. IT STATES THAT HOW EFFICIENTLY THE…

Q: Debit Credit Accounts Receivable 5,000,000 Allowance for doubtful accounts before adjustment 50,000…

A: Doubtful Debts expense = Sales x doubtful debts as a percentage of sales Doubtful debts expense =…

Q: Canton Cave Company provided the following schedule of liabilities on December 31, 2014: P6,500,000…

A:

Q: SLO-1.1. The principle of Accounting that requires revenue recorded as soon as it is earned is…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: SLO-3.1. The financial statement that reports assets, liabilities, and owner's equity is the OIncome…

A: The financial statements are the reports prepared to record the financial activities of the business…

Q: Tyrion Company sells motorcycle helmets. In 2021, Tyrion sold 4,000,000 helmets before discovering a…

A: Contingent liability is a probable liability that has not been materialized actually. The liability…

Q: Optimal cash balance. The Madatung Corporation plans to have P1 million I steady cash outlays for…

A: GIVEN   The Madatung Corporation plans to have P1 million in steady cash outlays for next year. The…

Q: Account Title Cash Prepaid insurance Notes receivable (due in 5 years) Buildings Accumulated…

A: The balance sheet tells about the financial position of the business with assets , liabilities and…

Q: Surewin Company provided the following information at year-end:   Cash…

A: Current assets are those assets which can be sold, consumed or exhausted in the normal operating…

Q: t is very important to record business transactions correctly. If the recording of transactions in…

A: Bookkeeping means preparation and maintenance of books of accounts for the business operations of an…