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On January 1, 2019, Alpha Aviation purchased $2,000,000 of 8% bonds from JT Engineering. Alpha paid $2,083,160 for the bonds, which will mature January 1,
On January 1, 2019, Alpha Aviation purchased $2,000,000 of 8% bonds from JT Engineering. Alpha paid $2,083,160 for the bonds, which will mature January 1, 2024. They are classified as FV-OCI. Interest on the bonds is payable each July 1 and January 1. The effective interest rate on the bonds is 7%. On December 31, 2019, fair value of the bonds was $2,120,000. How much other comprehensive income should Alpha report? Select answer from the options below $51,240 No entry needs to be made. $36,840 $14,400
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