Pfadt Inc. had $600,000 par of 8% bonds payable outstanding on January 1, 2011 due...
50.1K
Verified Solution
Link Copied!
Question
Accounting
Pfadt Inc. had $600,000 par of 8% bonds payable outstanding on January 1, 2011 due January 1, 2015 with an unamortized discount of $12,000. Senat is a 90%-owned subsidiary of Pfadt. On January 2, 2011, Senat Corporation purchased $150,000 par value of Pfadt's outstanding bonds for $152,000. The bonds have interest payment dates of January 1 and July 1. Straight-line amortization is used.
6. With respect to the bond purchase, the consolidated income statement of Pfadt Corporation and Subsidiary for 2011 showed a gain or loss of?
7. Bond Interest Receivable for 2011 of Pfadt's bonds on Senat's books was?
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!
