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please help, thank you On July 1, 2024, ABC Corporation acquired a long-term investment in XYZ Company's 10 -year 12% bonds, with face value of
please help, thank you
On July 1, 2024, ABC Corporation acquired a long-term investment in XYZ Company's 10 -year 12% bonds, with face value of P5,000,000, for P5,386,300. Interest is payable semi-annually on January 1 and July 1 . The bonds mature on July 1,2034 . Bonds effective rate is 10%. What is the carrying value of the bond investment and interest income to be reported in ABC's financial statements on December 31, 2024, respectively if its business model is to collect contractual cash flows solely payments of principal and interest? ABC Bank purchased the following portfolio of securities during 2024 and reported the following balances at December 31, 2024. AA Security is held and measured at fair value through equity (other comprehensive income) and the other 2 securities are held and measured at fair value through profit or loss. No sale/ disposition occurred during 2024. All declines are considered temporary. How much is the net effect on 2024's comprehensive income given the aforementioned? Present your solutionStep by Step Solution
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