Question
On January 1, 2016, ABC Co. purchased 10%, P6,000,000 bonds for P5,800,610. Principal on the bonds mature as follows: December 31, 2016 2,000,000 December 31,
On January 1, 2016, ABC Co. purchased 10%, P6,000,000 bonds for P5,800,610. Principal on the bonds
mature as follows:
December 31, 2016 2,000,000
December 31, 2017 2,000,000
December 31, 2018 2,000,000
Interest is due annually at each year end. The effective interest rate on the bonds is 12%. Determine the current
portion of the bonds on December 31, 2017?
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Managerial Accounting
Authors: Wendy M. Tietz, Louis Beaubien, Karen W. Braun
3rd Canadian edition
