Accumulated other comprehensive income, reported in the December 31, 2013 balance sheet, is a credit balance of

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Accumulated other comprehensive income, reported in the December 31, 2013 balance sheet, is a credit balance of
a. $ 6,000
b. $10,000
c. $11,000
d. $12,000
Additional information:
a. The HTM securities are $200,000 face value debt securities purchased on January 1, 2011 at a yield of 4%. The securities have a 4-year total life and pay interest annually on December 31, at a coupon rate of 6%.
b. The trading securities on hand on January 1 were sold in 2013 for $180,000.
c. More trading securities were purchased for $100,000. They are still on hand at December 31, 2013, and have a fair value of $125,000.
d. AFS securities originally purchased for $26,000 and with a January 1, 2013 carrying value of $25,000, were sold for $29,000.
e. AFS securities on hand at December 31, 2013 have a fair value of $81,000. Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...
Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the...
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Advanced Accounting

ISBN: 978-1934319307

2nd edition

Authors: Susan S. Hamlen, Ronald J. Huefner, James A. Largay III

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