Question
In: Accounting
Harmau Limited bought 1.5% Singapore Government Bonds on 31 December 2017. Harimau Limited has a 31...
Harmau Limited bought 1.5% Singapore Government Bonds on 31 December 2017. Harimau Limited has a 31 December year-end.
On 31 December 2018, the carrying value of all these bonds was $280,000 and the related Investment reserve balance on the same date was $40,000 credit.
On 1 April 2019, Harimau Ltd sold 60% of its bond holdings for $120,000.
On 31 December 2019, the market value of the remaining 1.5% Singapore Government Bonds was $150,000.
Required:
Prepare all journal entries in the books of Harimau Ltd to account for all relevant transactions for year ended 31 December 2019.
What is the carrying value of the remaining bond holdings in Singapore Government Bonds that will appear in Harimau Limited’s books as at 31 December 2019 and what is the Investment reserve balance as at 31 December 2019.
Part (a)
|
1/4/2019 |
|||
|
31/12/2019 |
|||
Part (b)
Carrying value of remaining bondholding in Singapore
$_____________
Government Bonds (as at 31 December 2019)
Investment reserve (as at 31 December 2019) $______________
Solutions
ekkarill92 answered 2 years agoRelated Solutions
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?
?
?
?
$m
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?
?
?
?
168,300
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?
?
?
?
-115,850
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?
?
?
?
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?
?
?
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?
?
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?
?
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