Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. crane company purchased $2400000 of 9%,5-year bond

Crane Company purchased $2400000 of 9%,5-year bonds from Swifty, Inc. on January 1,2025 with interest...

80.2K

Verified Solution

Question

Accounting

image
Crane Company purchased $2400000 of 9%,5-year bonds from Swifty, Inc. on January 1,2025 with interest payable on July 1 and January 1 . The bonds sold for $2499792 at an effective interest rate of 8%. Using the effective-interest method, Crane decreased the Available-for-Sale Debt Securities account for the Swifty bonds on July 1, 2025 and December 31, 2025 by the amortized premiums of $9420 and $9780, respectively. At December 31,2025 , the fair value of the Swifty bonds was $2580000. What should Crane report as other comprehensive income and as a separate component of stockholders' equity? $80208. $99408. $19200. No entry should be made

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

14. A researcher reports outcomes of one-factor ANOVA as F(5, 60) = 3.24, p > .05....

Statistics
Q

Evaluate arguments for and against tort reform with a focus on why organizations leave the United States...

General Management
Q

There is a constant inflow of a liquid into a conical vessel 15 feet deep...

Physics
Q

Write each number in decimal notation 3 19 x 107 a b c CHY 2...

Basic Math
Q

follow a periodic pattern of rise and fall called the tides The graph below shows...

Basic Math
Q

Jenny buys a dining table costing $795.95. The store charges $55 for delivery. State taxes...

Basic Math
Q

Tutorial Exercise Find the general solution of the differential equation and check the result by...

Calculus
Q

Statement of cost of...

Accounting
Q

PLEASE ANSWER THESE QUESTIONS DONT COPY FROM INTERNET SOURCE PLEASE IT SHOWS PLAG ...

Accounting
Q

A continuacin se presentan dos casos independientes relacionados con inversiones en deuda mantenidas para cobrar...

Accounting
Q

Effective internal control over financial reporting allows for more informed decisions by internal and external...

Accounting
Q

Highlands Company uses the weighted-average method in its process costing system. It processes wood pulp...

Accounting