Business, 08.11.2019 02:31, ryanbasdao
Fuzzy monkey technologies, inc., purchased as a long-term investment $110 million of 10% bonds, dated january 1, on january 1, 2016. management intends to have the investment available for sale when circumstances warrant. when the company purchased the bonds, management elected to account for them under the fair value option. for bonds of similar risk and maturity the market yield was 12%. the price paid for the bonds was $94 million. interest is received semiannually on june 30 and december 31. due to changing market conditions, the fair value of the bonds at december 31, 2016, was $100 million.
required: 1. to 3. prepare the relevant journal entries on the respective dates (record the interest at the effective rate). (if no entry is required for a transaction/event, select "no journal entry required" in the first account field. do not round intermediate calculations. enter your answers in millions rounded to 2 decimal places, (i. e., 5,500,000 should be entered as 5.
1.record fuzzy monkey’s investment on bonds on january 1, 2016.
2.record the interest revenue on june 30, 2016.
3.record the interest revenue on december 31, 2016.
4.1 at what amount will fuzzy monkey report its investment in the december 31, 2016, balance sheet? (do not round intermediate calculations. enter your answer in millions rounded to 2 decimal places, (i. e., 5,500,000 should be entered as 5.
4.2 prepare the journal entry necessary to achieve this reporting objective. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field. do not round intermediate calculations. enter your answers in millions rounded to 2 decimal places, (i. e., 5,500,000 should be entered as 5.
5. how would fuzzy monkey’s 2016 statement of cash flows be affected by this investment assuming fuzzy anticipates holding these investments for a sufficiently long period? (do not round intermediate calculations. enter your answers in millions rounded to 1 decimal place, (i. e., 5,500,000 should be entered as 5.
Answers: 1
Business, 22.06.2019 20:20, chem1014
Digitalhealth electronics inc. is a company that builds diagnostic devices. it was the first company to develop a compact mri scanner by reconfiguring the components of the mri technology. this smaller and user-friendly version of the huge mri scanner created demand from small hospitals, nursing homes, and private practice doctors who were earlier dependent on the scanning machines in large hospitals. which of the following types of innovations does this scenario best illustrate? a. disruptive innovation b. incremental innovation c. radical innovation d. architectural innovation
Answers: 3
Business, 23.06.2019 01:40, sospls352
During a liquidation, a partner's capital account balance drops below zero. what should happen? select one: a. the deficit balance should be removed from the accounting records with only the remaining partners sharing in future gains and losses. b. the partner with a deficit should contribute enough assets to offset the deficit balance if he is solvent. c. the other partners should contribute enough assets to offset the amount of deficit if the partner with a deficit is insolvent. d. both b & c
Answers: 3
Business, 23.06.2019 10:30, gshreya2005
Compare the rate at which each of the three students read. stew: connie: felicia: words minute 795 3 1855 7 2120 8 2650 10 260 words per minute which student reads at a faster rate? in your final answer, include all necessary calculations.
Answers: 2
Fuzzy monkey technologies, inc., purchased as a long-term investment $110 million of 10% bonds, date...
History, 30.07.2020 06:01
History, 30.07.2020 06:01