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Question: On January 1, 2021, Quezon Company purchased 5-year bonds with face value of P8,000,000 and stated interest of 10% per year payable semiannually January 1 and July 1. The bonds were acquired to yield 8%. Present value factors are:
PV of an annuity of 1 for 5 periods at 10% 3.79PV of an annuity of 1 for 5 periods at 8% 3.99 PV of an annuity of 1 for 10 periods at 5% 7.72 PV of an annuity of 1 for 10 periods at 4% 8.11 PV of 1 for 10 periods at 4% 0.6756 PV of 1 for 10 periods at 5% 0.6135 PV of 1 for 5 periods at 10% 0.6207 PV of 1 for 5 periods at 8% 0.6804 What is the carrying amount of the bond investment on December 31, 2021?
what are the total product costs for the company under variable costing?
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