Pls answer and explain
14
MC15 On July 1, Year 2, Superb Company purchased 4,000 of the P1,000 face amount, 8% bonds of Oat Corp. for P3,692,000 to yield 10% per annum. The bonds, which mature on July 1, Year 5, pay interest semiannually on January 1 and July 1. Superb classifies the securities as at amortized cost.What is the investment carrying value at December 31, Year 22 P3,975,400 P3,741,200 P3,716,600 P3,667,400MC17 On January 1, Year 2, Grand Company purchased as held for collection investment P1,000,000 face value of Greek Company's 8% bonds for P912,400. The bonds were purchased to yield 10% interest. The bonds mature on January 1 Year 7, and pay interest annually on January 1. What amount should Grand Company report on its December 31, Year 2 statement of financial position for held for collection investment? a. P1,000,000 b . P 923,640 C. P 912,400 d. 901, 160 MC18 On June 1, Year 1, Fantastic Company purchased as held for collection securities 8,000 of the P1,000 face value, 8% bonds of Universe Company for P7,383,000. The bonds were purchased to yield 10% interest. Interest is payable semiannually on December 1 and June 1. The bonds mature on June 1, Year 5. On June 1, Year 2, Fantastic sold the bonds for P7,850,000 This amount includes the appropriate accrued interest. What is the gain or loss on the sale of the bond investment? a. P368,700 b. P366,240 C. P 48,700 d. P 46,242MC14 On July 1, Year 2, Marvelous Company purchased P10 million of West Company's 8% bonds due on July 1, Year 10. Based on the company's business model for the portfolio of investments, Marvelous designates the bonds as investments measured at amortized cost. The bonds, which pay interest semiannually on January 1 and July 1 were purchased for P8,750,000 to yield 10%. In its statement of comprehensive income for the year ended December 31, Year 2, Marvelous Company should report interest income of P350,000 P400,000 P437,500 P500,000MC19 On July 1, 2020, Sprakenheit Company purchased P500,000 face value Swazzeg Company 8% bonds for P455,000 plus accrued interest to yield 10%. The bonds were designated as at fair value through profit or loss. The bonds mature on January 1, 2024 and pay interest annually on January 1. On December 31, 2020, the bonds had a fair value of P472,500. On February 14, 2021, Sprakenheit sold the bonds for P460,000 plus accrued interest. On its December 31, 2020 statement of financial position, what amount should Sprakenheit Company report as debt investments? a. P455,000 b. P457,750 C. P460,000 d. P472,500 MC20 Use the same information given in MC19. What is the interest revenue reported by Sprakenheit for the year 2020? a. P18,200 b . P20,000 C. P22,750 d. P25,000 MC21 Use the same information given in MC19. What is the gain (loss on the sale of the securities in 2021? a. P12,500 b. P 5,000 C P (5,000) d. P(12,500)MC16 Use the same information given in MC15. How much is the interest revenue reported by Superb Company in its statement of comprehensive income for year ended December 31, Year 2? P200,000 P190,800 P184,600 P160,000
