Tanner-UNF Corporation acquired as a long-term investment $1 million of 10-year bonds on July 1, 2023. The purchase price of the bonds was $922,054. After receiving the first interest payment on December 31, 2023, the carrying value of the bonds was $925,106. The market price of the bonds on December 31, 2023, was $927,000. Assuming that Tanner - UNF intends to sell the bonds as soon as possible, how much will be reported as investment in bonds on Tanner - unf's balance sheet on a December 31st 2023? And in which section of the balance sheet will the investment appear?

Q: On January 1, 2018, CHE Co. purchased 12% bonds, having a maturity value of P800,000, for P860,652…

A:

Q: Fuzzy Monkey Technologies, Incorporated purchased as a long-term investment $130 million of 8%…

A: Journal entry is the entry which is prepared by the accountant for the purpose of recording the…

Q: On January 1, 2021, Romania Company acquired 3-year bonds with a face amount of P2,000,000 for…

A: Gain on retirement of bond is calculated by subtracting the fair value of bond from the retirement…

Q: On January 1, 2020, Dumaguete Company purchased bonds with face amount of P4,000,000 for P4,206,000.…

A: ANSWER     The business model is to hold the asset until redemption, but sales may be made to invest…

Q: WBE Ltd. sold $7,660,000 of 12% bonds, which were dated March 1, 2023, on June 1, 2023. The bonds…

A: The bonds are issued either by government entty or coproration to raise money. The bonds are the…

Q: On January 1, 2022, Kristine Compar transaction cost of P100,000. The mature on January 1, 2027 and…

A: Bonds are priced by discounting future cash flows. Future cash flows include coupons and par value…

Q: 1.1 Determine the purchase price of the investment in bonds. 1.2 Prepare the journal entry to record…

A: Half years Cash flow (A) Present Value @ 6% (B) Present Value of Cash flow ( A * B ) 1 to 10…

Q: On February 18, 2021, Union Corporation purchased 600 IBM bonds as a long-term investment at their…

A: 1) These bonds are classified under available for sale for sale investment as these are held for…

Q: On January 1, 2023, Marigold Corporation purchased a newly issued $1,250,000 bond. The bond matured…

A: Bonds refer to the financial instrument issued by the bank or financial institution at a specified…

Q: On December 31, 2020, Alberta Inc. purchased $500,000, 10% bonds issued by Banff Ltd. The bonds have…

A: Bond should be valued at at current market price. If market price is changes after bond issued then…

Q: On January 1, 2021, Panama Company purchased P3,000,000 face amount, 9% bonds. The bonds were…

A: A bond is a debt security that produces fixed income at a pre-determined rate. The bond issuer is…

Q: On January 1, 2020, Apple Co. purchased held-for-collection and sales bonds par value $2,000,000, 9%…

A: Bond valuationwhen the market interest rate is higher than the coupon interest rate, then the bond…

Q: Fuzzy Monkey Technologies, Inc., purchased as a long-term investment $80 million of 8% bonds, dated…

A: Bonds are debt securities that companies or governments issue to raise capital. Bond valuation is…

Q: The Dandelion corporation acquired as a long-term investment $240,000 of 6% bonds, dated July 1, on…

A: A journal entry is a systematic recording of financial events in accounting that includes a debit…

Q: On January 1, 2019, Ramen Company purchased P1,000,000, 12% bonds of Tamago Company for P1,063,394,…

A: Bond is a debt instrument for company through which company borrows money from investors for a fixed…

Q: On January 1, 2022, Kristine Company purchased 12% bonds with face amount of P5,000,000 for…

A: Bonds- A bond is a fixed-income tool that represents a loan made by a financier to a borrower…

Q: On January 1, 2020, Kevin Cosme acquired a P2,000,000, 10% bond for P2,159,708. The ongoing interest…

A:

Q: On Jan. 1, 2021, ABC acquired a 10%, 5-year, P2,000,000 face value bonds for trading purposes. The…

A: Given: Face Value of the bonds  1/1/2021 2000000 Coupon Rate 10% Bond Tenure in years 5…

Q: rchase ay interest of 10% every June 30 and December 31 ue of the bonds at year-end are presented…

A: Transaction costs or the bond issue costs are the expenses that are incurred by the company for…

Q: In 2019, Osgood Corporation purchased $8.5 million worth of 10-year municipal bonds at face value.…

A: Loss on investment is the difference in fair value of the investment from the value it was…

Q: On January 1, 2020, Metlock Company acquires $110,000 of Spiderman Products, Inc., 9% bonds at a…

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

Q: On January 1, 2021, Illuminati Company purchased 10% bonds with a face amount of P3,000,000. The…

A: Bond Valuation Bond can be valued either in par value or in discount or in premium as well.  The…

Q: On January 1, 2019, PPP Company purchased as a long-term investment P5,000,000 face amount of SSS…

A: The interest method is an accounting technique that helps to amortize discounts or premiums on bond…

Q: On January 1, 2020, Sage Company purchased $270,000, 6% bonds of Aguirre Co. for $248,099. The bonds…

A: The procedure of recording business transactions for the first time in the books of accounts is…

Q: On January 1, 2020, Nash Company purchased $330,000, 8% bonds of Aguirre Co. for $304,517. The bonds…

A: Bond's purchased as available-for-sale are to be recorded at their fair value in books.

Q: On January 1, 2021, Canada Corp. purchased 4-year bonds with a face value of P7,300,000 and a stated…

A: Bonds that are held till maturity are recorded at cost including associated cost. Any discount or…

Q: On June 1, 2022, GHI Co. acquired P3,000,000 bonds of Z Company at 102 plus transaction costs of…

A:

Q: On April 1, 2021, Eminem Company purchased 4,000 of the P1,000 face amount, 8% bonds of Stan Company…

A: Accounting is essential to operating a company since it allows businesses to track income and…

Q: On January 1, 2020, Kingbird Corporation purchased 325 of the $1,000 face value, 11%, 10-year bonds…

A: Issue price of the bonds = Present value of principal + Present value of interest payments where,…

Q: On January 1,2019, DEF Company purchased 456B Corporation, 9% bonds with a face value of P 4,000,000…

A: Interest revenue for the year 2019 = Bond investment * Effective interest rate

Q: On January 1, 2021, Mega Corporation purchased P1,000,000, 12% bonds for P1,065,000, a price that…

A: Introduction: Debt funds invest in assets that provide fixed interest, such as corporate bonds,…

Q: December 31, 2020, Alberta Inc. purchased $500,000, 10% bonds issued by Banff Ltd. The bonds have a…

A: Bold should be valued at at current market price. If market price is changes after bond issued then…

Q: On April 1, 2020 Everjoy Company purchased $80,000 of Miller Corporation's 6% bonds at a purchase…

A: The carrying value of bonds payable is calculated after making adjustment for amortized discount or…

Q: PUP CAF Corporation acquired a 4-year, P3,000,000 par value bonds when the prevailing rate of…

A: Unrealized gain or loss on investment: Investment gains that are not yet realized are gains that…

Q: y Monkey Technologies, Incorporated purchased as a long-term investment $220 million of 8% bonds,…

A: A journal entry is a basic accounting record that is used to chronologically track financial…

Q: Fuzzy Monkey Technologies, Incorporated purchased as a long-term investment $150 million of 6%…

A: Approach to solving the question: Detailed explanation: Examples: Key references:

Q: On January 1, 2023, Marigold Corporation purchased a newly issued $1,250,000 bond. The bond matured…

A: Bond price is the current market value of a bond, determined by discounting all its future cash…

Q: On January 1, 2018, OCEANIC Company purchased 12% bonds, having a maturity value of P800,000, for…

A: Date of Purchase of Bonds= 01-01-2018 Maturity Value= P800000 Purchase price= P860652 Transaction…

Q: Tanner-UNF Corporation acquired as an Investment $240 million of 7% bonds, dated July 1, on July 1,…

A: Bonds are financial instruments that represent a form of debt issued by governments and large…

Q: On April 1, 2019, Padayon Co. acquired a 5-year bond with a face value of P1,200,000 and stated…

A: Present Value of Interest Component = Annual Interest Payment x Cumulative Present Value Factor @…