Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Current Attempt in Progress Metock Company commonly issues long term es payable to its various lenders. Metlock has had a pretty good credit rating such
Current Attempt in Progress Metock Company commonly issues long term es payable to its various lenders. Metlock has had a pretty good credit rating such that its effective borrowing rate it low less than on value option for the long term.notes issued to Barclay's Bank and has the following data related to the carrying and value for these notes Any changes in valoarea to change de ma Metlackas elected to atscredit risk the tar December 31, 2017 December 31, 2018 December 31, 2019 Carrying Value Fair Value 556,000 $56.000 47.600 45.900 33.700 35,700 Prepare the journal entry at December 31 (Metlock's year-end for 2017, 2018 and 2019 to record the fair value option for these are automatically indented when mount e d Do not indien mond ter tryg d select 'No Entry for the counter ander m e ditatie Date Account Titles and Explanation Dec 31, 2017 Dec 31, 2018 Dec 31, 2019 (b) At what amount will the note be reported on Methods 2018 balance sheet Note to be reported on Metlocks 2018 balance sheets Id what is the effect of record the value option on these notes on Metrock 2019 come! of 5 oct of record the do value otion would resulta
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started