User Account

All Pages

Compute the carrying amount of the bonds as at June

Assignment Help Accounting Basics
Reference no: EM132857998

Question - Ryde Ltd purchased 1,000 units of a 10-year bond with a face value of $1,000 each on 1 July 2020. The bonds pay 10% annual coupon in arrears. The bonds will repay the principal of $1million in ten years' time.

The effective interest rate for the bond was 12% at the time of the purchase. Ryde Ltd intends to hold the bonds for their periodic cash flows and have no intention to sell them until their maturity.

During the financial year ended 30 June 2021, the bond issuer experienced financial difficulty and has notified Ryde Ltd that it will be unable to meet future interest and principal repayments. Consequently, Ryde Ltd recognised a lifetime impairment of $537182 on the bond investment.

Required - Compute the carrying amount of the bonds as at 30 June 2021 recognised by Ryde Ltd?

Reference no: EM132857998

Questions Cloud

Find the total cost that would be recorded : The predetermined overhead rate is $15 per machine-hour. Find the total cost that would be recorded on the job cost sheet for Job 910
Make a comparison to christianity : What are some of the differences or similarities between Muslim and Christian notions of the afterlife? make a comparison to Christianity.
Mean and variance of the number of customers : Assume that successive customers make independent choices, with P(A)=0.5, P(B)=0.2,and P(C)=0.3.
Describe the proposed analysis strategy : Demonstrate your ability to critically review evidence and draw conclusions based on your evaluation - Identify and justify an area that requires research
Compute the carrying amount of the bonds as at June : The effective interest rate for the bond was 12% at the time of the purchase. Compute the carrying amount of the bonds as at June
Considering the lean business model canvas : Considering the lean business model canvas, describe the modeling expectations between intrapreneurship and entrepreneurship.
Did manage time well or do need to make adjustments : What were your successes? What areas do you need to improve upon? Did you manage your time well or do you need to make adjustments?
What is the objective of the study : In a city, there are 320 public schools with a total of 38400 primary 1 students. A large-scale survey covers about 1.25% primary 1 students
Identify the target population for covid patients : Identify the problem: Covid-19 patiemts have better outcomes when nurse intervention are put in place. Identify the target population: Covid-19 patients

Reviews

Write a Review

Accounting Basics Questions & Answers

  Calculate the dollar amount of direct materials

ZZ, Inc. has budgeted sales for the next five months as follows: Budgeted Sales in Units January 12,000 units February 15,000 units March 11,000 units April 22.

  What penalty will a tax preparer face

Walt failed to exercise due diligence. What penalty will a tax preparer face if it is determined that he failed to exercise due diligence?

  Resulting in new mortgages carrying loan amounts

About 74% of Freddie Mac-owned loans were refinanced in the second quarter of 2005 (USA Today, Lifeline, August 3, 2005), resulting in new mortgages carrying loan amounts at least 5% above the original mortgage balance. The median loan refinanced ..

  What is the present value of this annuity

You will receive a total of 10 payments. If you can invest cash flows in an investment paying 7.65 per cent annually, what is the present value of this annuity

  Not-for-profit and governmental entities

Write a Memo to a nonfinancial audience explaining how increasing scrutiny and demand for accountability by the public has influenced reporting for not-for-profit and governmental entities.

  Basis in the partnership interest

What is the income or gain recognized? What is his basis in the partnership interest?

  Determine depreciation for the first year of the truck

The truck is expected to be driven 15,000 miles per year over a five-year period. Determine depreciation for the first year of the truck's useful life

  What is Sprint Nextel break-even number of accounts

Sprint Nextel is one of the largest digital wireless service providers in the United States. What is Sprint Nextel break-even number of accounts

  What is depreciation expense using double declining balance

Jack & Jill inc. purchased a new piece of machinery for $300,000 on may 1. What is the depreciation expense for 2004 using the double declining balance method?

  Prepare the necessary entries to record these intangibles

1/2/08 Purchased patent (7-year life) $560,000. Prepare the necessary entries to record these intangibles. All costs incurred were for cash

  Allcell manufacturing is a division of birch communications

allcell manufacturing is a division of birch communications inc. all cell produces cell phones and sells these phones

  A company can sell all the units it can produce of either

a company can sell all the units it can produce of either product a or product b but not both. product a has a unit

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd