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On January 1,2021, Mhelson Co. acquired an equipment with a fair value of 5,080,000 by assuing 500 bonds. Each bond has a face value of

On January 1,2021, Mhelson Co. acquired an equipment with a fair value of 5,080,000 by assuing 500 bonds. Each bond has a face value of 10,000 and fair value of 10,200. Based on the above data, answer the following: 1. How much is the initial cost of the equipment? 2. How much is the gain (or loss) on exchange to be recognized in the profit or loss of Mhelson Co.?

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