How should the reclassification of the investment

Assignment Help Accounting Basics
Reference no: EM13996433

1. Western Die-Casting Company holds an investment in unsecured bonds of LGB Heating Equipment, Inc. When the investment was acquired, management's intention was to hold the bonds for resale. Now management has the positive intent and ability to hold the bonds to maturity. How should the reclassification of the investment be accounted for? 

Reference no: EM13996433

Questions Cloud

How far downstream has it moved by the time : A river flows due East at constant velocity 3 m/s. If the boat heads due North, how far downstream has it moved by the time it reaches the far shore?
What challenges did you have relating to that person : Recall a time when you met someone with a different worldview than yours and you had a difficult time relating. What challenges did you have relating to that person?
Why are holding gains and losses treated differently : Why are holding gains and losses treated differently for trading securities and securities available-for-sale?
What is the charge on the ball in nanocoulombs : An electric field E in N/C, right causes the m in grams ball in the figure to hang at a T degree angle. What is the charge on the ball in nanoCoulombs?
How should the reclassification of the investment : How should the reclassification of the investment be accounted for?
What is the efficiency of the engine : An engine goes through a cyclic process. In the process, the engine does 700 J of work and has a heat output of 2200 J. What is the efficiency of the engine?
Environmental sustainability in the european union : Prepare a two to three page report titled "Environmental Sustainability in the European Union (EU)." The report should be based on the publicly available information that you obtained. You may use the report published by the European Commission.
Are there circumstances in which the cost method : Are there circumstances in which the cost method is required under U.S. GAAP but not under IFRS? Explain.
Which would you recommend for your retired parents : Which would you recommend for your retired parents? Justify your answer.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

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