Question
On February 18, 2021, Union Corporation purchased 2,184 IBM bonds as a long-term investment at their face value for a total of $2,184,000. Union will
On February 18, 2021, Union Corporation purchased 2,184 IBM bonds as a long-term investment at their face value for a total of $2,184,000. Union will hold the bonds indefinitely, and may sell them if their price increases sufficiently. On December 31, 2021, and December 31, 2022, the market value of the bonds was $2,128,000 and $2,212,000, respectively.
Required: 2. & 3. Prepare the adjusting entry for December 31, 2021 and 2022. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
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Auditing Cases An Active Learning Approach
Authors: Mark S. Beasley, Frank A. Buckless, Steven M. Glover, Douglas F. Prawitt
2nd Edition
0130674842, 978-0130674845
