Question
Below is information about trading-securities portfolio of Uranus Co. Security Cost Fair value 12/31/20X2 A $ 80,000 $ 84,000 B 60,000 54,000 C 22,000 22,000
Below is information about trading-securities portfolio of Uranus Co.
| Security | Cost | Fair value 12/31/20X2 | ||||
| A | $ | 80,000 | $ | 84,000 | ||
| B | 60,000 | 54,000 | ||||
| C | 22,000 | 22,000 | ||||
If Uranus reported unrealized holding gain of $10,000 on this trading portfolio in 20X1, how much unrealized holding gain or loss should Uranus record in 20X2? How much should Uranus report this portfolio in the balance sheet as of December 31, 20X2?
Group of answer choices
$2,000 unrealized holding gain & $162,000 portfolio value in the balance sheet
$10,000 unrealized holding loss & $162,000 portfolio value in the balance sheet
$2,000 unrealized holding loss & $160,000 portfolio value in the balance sheet
$12,000 unrealized holding loss & $160,000 portfolio value in the balance sheet
On January 1, 2021, Gasby Inc. purchased $1,000,000 bonds 2.5% bonds with maturity date on December 31, 2030 when the effective rate of interest for the bonds was 3%. The bonds pay interest semiannually on June 30 and December 31. Determine the market price of these bonds on January 1, 2021. Present Value Tables.pdf
$957,345
$957,078
$1,000,000
$1,171,686
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Managerial Accounting Creating Value in a Dynamic Business Environment
Authors: Ronald Hilton, David Platt
12th edition
1259969517, 1260566390, 978-1260417043
