On December 31, 2020, the bond investment was quoted at 95. On March 31, 2021, the...

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On December 31, 2020, the bond investment was quoted at 95. On March 31, 2021, the entity sold the bond investment for P2,100,000 plus accrued interest. Required: Prepare journal entries for 2020 and 2021. On October 1, 2020, Yost Company purchased 4,000 of the Pi,000 face amount, 10% bonds of Pell Company for P4,400,000 which included accrued interest of P100,000. The bonds, which mature on January 1, 2027, pay interest semiannually on January 1 and July 1. The entity used the straight line method of amortization and appropriately recorded the bonds as financial asset at amortized cost. Required: Prepare journal entries for 2020 and 2021. Manda Company acquired P6,000,000 of Landoil 12% bonds on May 1, 2020 at 94 plus accrued interest to be held as financial asset at amortized cost. The bonds pay interest semiannually on February 1 and August 1, and mature on February 1, 2024. The fiscal period for Manda Compapy is the calendar period. On December 31, 2020, the bond investment was quoted at 95. On March 31, 2021, the entity sold the bond investment for P2,100,000 plus accrued interest. Required: Prepare journal entries for 2020 and 2021. On October 1, 2020, Yost Company purchased 4,000 of the Pi,000 face amount, 10% bonds of Pell Company for P4,400,000 which included accrued interest of P100,000. The bonds, which mature on January 1, 2027, pay interest semiannually on January 1 and July 1. The entity used the straight line method of amortization and appropriately recorded the bonds as financial asset at amortized cost. Required: Prepare journal entries for 2020 and 2021. Manda Company acquired P6,000,000 of Landoil 12% bonds on May 1, 2020 at 94 plus accrued interest to be held as financial asset at amortized cost. The bonds pay interest semiannually on February 1 and August 1, and mature on February 1, 2024. The fiscal period for Manda Compapy is the calendar period.

Answer rating: 100% (QA)

Journal Entries for Yost Company October 1 2020Debit Financial Asset Bonds P4400000Cred... View the full answer