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On January 1, 2018, EUDORA Company purchased 12% bonds, having a maturity value of P800,000, for P860,652 including transaction cost of P110,000. The bonds provide the bondholders with a 10% yield, are dated January 1, 2018, and mature January 1, 2023, with interest receivable December 31 of each year.
Problem 1: At what amount should the debt investment be reported in the Statement of Financial Position as of December 31, 2019?
a. P910,0004b. P900,000c. P972,000d. P872,000
Php 30,000 worth of garments and at the counter paid with a check dated January 5, 2021, which was approved and accepted. Is there a credit transaction here?
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