Reference no: EM133051048
Questions -
Q1. On January 1, 2022, Bryan Company bought an investment in debt security having a face amount of P900,000 when the market rate of interest is 5%. The investment bears interest of 7% to be paid annually every December 31 starting 2022. Maturity date is on December 31, 2026. The investment is held under at amortized cost measurement. How much is the fair value of the investment as of January 1, 2022? Round-off present value factors up to six decimal places.
Q2. On January 1, 2022, Bryan Company bought an investment in debt security having a face amount of P900,000 when the market rate of interest is 5%. The investment bears interest of 7% to be paid annually every December 31 starting 2022. Maturity date is on December 31, 2026. The investment is held under at amortized cost measurement. How much is the interest income for 2023?
Q3. On January 1, 2022, Bryan Company bought an investment in debt security having a face amount of P900,000 when the market rate of interest is 5%. The investment bears interest of 7% to be paid annually every December 31 starting 2022. Maturity date is on December 31, 2026. The investment is held under at amortized cost measurement. How much is the carrying amount as of December 31, 2024?
Q4. On January 1, 2022, Bryan Company bought an investment in debt security having a face amount of P900,000 when the market rate of interest is 5%. The investment bears interest of 7% to be paid annually every December 31 starting 2022. Maturity date is on December 31, 2026. The investment is held under at amortized cost measurement. Assume that on December 31, 2025, 50% of the investment was sold for P465,000. How much is the gain or loss on sale?