Fair value accounting is used
Fairvalue is the practice of measuring assets and liabilities at their current market value. The fair value is the amount that the asset could be sold, or a liability settled for a value that is fair to both the buyer and the seller.
at the year end change in fair value transfered to revaluation reserve account .
in the give case change in fair value 0.3 million i.,e(1.3million-1 million) transfer to revalution reserve and the investment is recorded at 1.3 million in the balance sheet.
Imagine you are investing in a company having more than 30% of investment and you feel...
Imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? Your investment is $1 million and the accounting year ends on December 31st 2019, the fair value of the investment goes up to $1.3 million on that date. How would you record in your books?
Imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? Your investment is $1 million and the accounting year ends on December 31st 2019, the fair value of the investment goes up to $1.3 million on that date. How would you record in your books?
Imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? Your investment is $1 million and the accounting year ends on December 31st 2019, the fair value of the investment goes up to $1.3 million on that date. How would you record in your books?
imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? your investment is $1 ,illion and accounting year ends on december 31st 2019, the fiar value of the investment goes up to $1.3 million on that date. how would you record in your books?
Q4. (25 marks) Imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? Your investment is $1 million and the accounting year ends on December 31st 2019, the fair value of the investment goes up to $1.3 million on that date. How would you record in your books?
5 Header Q4. (25 marks) 1 Imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? Your investment is $1 million and the accounting year ends on December 31* 2019, the fair value of the investment goes up to $1.3 million on that date. How would you record in your books? 6 Header
04. (25 marks) He Imagine you are investing in a company having more than 30% of investment and you feel the need to update the accounting books, what accounting approach would you use? Your investment is $1 million and the accounting year ends on December 31" 2019, the fair value of the investment goes up to $1 3 million on that date. How would you record in your books? 5 I Hes dit.officeapps.live.com.. ere to search ORA
you are planning on investing your income tax refund in common stock, and you have identified a stock that looks pretty good. Over the last few years, this stock has paid the following dividends per share Year dividend per share 2xx1 2.00 2xx2 1.95 2xx3 2.25 2xx4 2.10 2xx5 2.45 2xxx6 2.8 You feel that the company should manage to keep up this average growth rate of dividends even though there might be a some fluctuation form year to year...
Fuzzy Monkey Technologies, Inc., purchased as a long-term investment $150 million of 6% bonds, dated January 1, on January 1, 2021. Management intends to have the investment available for sale when circumstances warrant. When the company purchased the bonds, management elected to account for them under the fair value option. For bonds of similar risk and maturity the market yield was 8%. The price paid for the bonds was $133 million. Interest is received semiannually on June 30 and December...
Fuzzy Monkey Technologies, Inc., purchased as a long-term investment $140 million of 10% bonds, dated January 1, on January 1, 2021. Management has the positive intent and ability to hold the bonds until maturity. For bonds of similar risk and maturity the market yield was 12%. The price paid for the bonds was $124 million. Interest is received semiannually on June 30 and December 31. Due to changing market conditions, the fair value of the bonds at December 31, 2021,...