Otter Creek & Co. owns vast amounts of corporate bonds. Suppose Otter Creek buys $1,200,000 of RoastCo

Question:

Otter Creek & Co. owns vast amounts of corporate bonds. Suppose Otter Creek buys $1,200,000 of RoastCo bonds at on January 2, 2016. The RoastCo bonds pay interest at the annual rate of 3% on June 30 and December 31 and mature on December 31, 2020. Otter Creek intends to hold the investment until How would the bond investment be classified on Otter Creeks December 31, 2016, balance sheet?
2. Journalize the following on Otter Creek’s books:
a. Receipt of final interest payment on December 31, 2020
b. Disposal of the investment at on December 31, 2020 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... Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...