Question
On January 1, 2018, Kabayan Co. acquired 4-year bonds with a face value of P1,800,000 and stated interest of 10% per year. The bonds mature
On January 1, 2018, Kabayan Co. acquired 4-year bonds with a face value of P1,800,000 and stated interest of 10% per year. The bonds mature in 4 equal annual installments every December 31. The interest is also payable every December 31. The bonds were acquired to yield 12%. The bonds are to be appropriately classified as a financial asset at amortized cost.
How much is the purchase price of bonds on January 1, 2018?
How much is the interest income for 2018?
How much is the interest income for 2019?
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IT And European Bank Performance
Authors: E. Beccalli
1st Edition
0230006949, 9780230006942
