(15,000) investment, P500,000 face amount, 8% bonds of Rand Corp. for d. 16,315 P461,500 to yield 10% per year. The bonds pay interest 5. On July 1, 2003, East Co. purchased, as a long-terni investment, P500,000 face amount, 8% bonds of Rand Corp. for P461,500 to yield 10% per vear. The bonds pay interest semiannually on January 1 and July 1. In its December 31, 2005 balance sheet, East should report interest receivable of a. 18,460 b. 20,000 c. 23,075 d. 25,000 (AICPA)

9, please answer part c, thanks

#7 ABC Company purchased bonds with a face amount of $1200000 between interest payment dates. ABC purchased the bonds at 102, paid brokerage costs of $15800, and paid accrued interest for three months of $25800. The amount to record as the cost of this long-term investment in bonds is $1239800. $1200000. $1224000. $1265600.

7

Question based on, "Carrying value of bonds".   I have tried it but unable to understand it.

4. Compute the annual cost for interest and redemption of these bonds

● Assume Sunset Company purchased this entire bond issue sold y Omar, i.e., 7% of $1,000,000 bonds, at $913,540 on January 1,2024. Market yield was 8% and interest is paid semiannually on June 30 and December 31. Sunset is holding the bond investment as trading securities. The fair value of the bonds on December 31, 2024 is $920,000. 1. At what amount will Sunset report this investment in the December 31, 2024 balance sheet? 2. What is the amount related to the bond investment that Sunset will report in its income statement for the year ended December 31, 2024? (Ignore income taxes.) 3. What is the amount related to the bond investment that Sunset will report in its statement of cash flows for the year ended December 31, 2024? Be sure to list the category of activity in which the cash flow is in. activities activities

HodsonCorp. purchased ten $1,000 8% bonds of Eagle Corporation when the market rate of interestwas 6%. Interest is paid semiannually, and the bonds will mature in four years. Using the PVfunction in Excel®, compute the price Hodson paid (the present value) for the bond investment.

Hodson Corp. purchased fifteen $1,000 3% bonds of Power Source Corporation when the market rate of interest was 10%. Interest is paid semiannually, and the bonds will mature in eight years. Using the PV function in Excel, compute the price Hodson paid (the present value) for the bond investment. (Assume that all payments of interest and principal occur at the end of the period. Round your answer to the nearest cent.) Hodson paid on the bond investment.

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