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At July 1, 2022, Landis Company sold the Ritter bonds for $3,090,000 immediate after receiving the interest payment. Assuming Landis Company has a portfolio of Available-for-Sale Debt Securities, what
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At July 1, 2022, Landis Company sold the Ritter bonds for $3,090,000 immediate after receiving the interest payment. Assuming Landis Company has a portfolio of Available-for-Sale Debt Securities, what should Landis Company report as a gain(loss) on the bonds?

User Alexrgs
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20 votes

Answer:

76900

Step-by-step explanation:

Fair Value of Ritter=3,180,000

Landis Purchased= 3,000,000

Rate = 8%

Time = 5 yrs

Bond sold = 3124,740

Rate = 7%

3,180,000- (3124,740 – 10,620 – 10, 980) =76900

User MeeDamian
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