What amount of gain or loss should company a disclose

Assignment Help Financial Accounting
Reference no: EM132760876

On May 1, 2017 Company A purchased short-term Php 4,000,000 face value 9% debt instruments for Php 3720,000 including the accrued interest and designated as an investment to profit or loss, which is based on the business model of the entity to buy and sell portfolio of securities and to make profit for short-term movements in the market rate of interest Company A incurred and paid Php 20,000 transaction cost related to the acquisition of the instrument The debt instruments mature on January 1, 2020 and pay interest semi-annually January 1 and July 1.

  • On December 31, the fair market value of the instrument is Php 3,880,000 and estimated cost to sell of Php 40,000

Problem 1: What amount of gain or loss should Company A disclose in profit or loss in the statement of comprehensive income for the year ended December 31, 2017?

Reference no: EM132760876

Questions Cloud

Perfect scope statement contain : What sections should the perfect scope statement contain? Most projects find managing scope to be a challenge.
Process of monitoring and regulating corporate performance : Control is process of monitoring and regulating corporate performance and making changes to ensure company meets their performance goals.
How should the manager of donutville acquire flour : DonutVille uses 1,000 pounds of flour, which must be delivered by 5:00 AM every Friday morning. How should the manager of DonutVille acquire flour?
Briefly describe your healthcare organization : Briefly describe your healthcare organization, including its culture and readiness for change. (You may opt to keep various elements of this anonymous.
What amount of gain or loss should company a disclose : What amount of gain or loss should Company A disclose in profit or loss in the statement of comprehensive income for the year ended December 31, 2017?
Biotic organism and an abiotic organism : What is the difference between an biotic organism and an abiotic organism?
Describe operations management framework : Describe the operations management (OM) framework or environment in which you work or are most familiar with.
What is the optimal project choices now : What is the optimal project choices now? Suppose that the manager of BetaGo has limited attention. Hence, if she invests in A and B at the same time
Describe the process of phototropism : Describe the process of phototropism. Explain how the hormone auxin is involved in phototropism in plants.

Reviews

Write a Review

Financial Accounting Questions & Answers

  What amount should be reported as capital

In the proprietorship's financial statements for the two months ended March 31, 2011, prepared under the cash basis method of accounting, what amount should be reported as capital?

  What is present value of tax savings related to operating

Assume a tax rate of 40 percent and that current losses can be used to offset taxable income in future years. What is present value of tax savings related to the operating losses in years 1 and 2?

  What is the total number of commercial copiers sold

Below is the December 2009 sales data bysales representative for Papier Nouveau, a distributor of commercial printing supplies. As the Director of HR for Papier Nouveau, you are responsible for calculating monthly incentives.

  How much cash did levinson llp make

How can a company generate capital to be used to re-invest into the company (to create more value for investors)?How much cash did Levinson LLP make

  Would you be still be willing to invest in the company

Should personal preference play any part in investment decisions? For example, if you don't care for Pepsi (the drink), would you be still be willing to invest in the company?

  How much interest will he earn after-tax for the second year

Matt recently deposited $35,250 in a savings account paying a guaranteed interest rate of 4.2 percent for the next 10 years. How much interest will he earn after-tax for the second year of his investment if he withdraws enough cash every year to pay ..

  What the depreciation expense in year five should be

Straight-line depreciation, the estimated useful life was revised from 8 to 6 years, but with zero residual value. The depreciation expense in year 5 should be

  What fraction of portfolio is invested in apl

If MSFT increases to $60 and APL decreases to $20, what is the return on your portfolio? If inflation rate is 3%. What is real return of this portfolio?

  Prepare the complete equity section of the balance sheet

Prepare the complete 12/31/18 Equity section of the balance sheet. Prepare the 12/31/18 journal entry to adjust the investment.

  What might motivate directors not to revalue the property

HA 3011 Advanced Financial Accounting Assignment. What might motivate directors not to revalue the property, plant and equipment

  Solve the profitability of the chester company account

Solve the profitability of the Chester Company account, Wizard Corporation has analyzed their customer and order handling data

  Find what amount of direct material was included

There was only one job left in work in process at the end of May which contained P6, 300 of overhead. What amount of direct material was included?

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