On July 1, 2018, TRES Company purchased an 8-yr, 12% bonds with a face value of ₱ 4,875,000 at 102 plus accrued interest to be recognized at amortized cost. The bonds mature on June 30, 2022 and pay interest semi-annually on April 1 and October 1. How much should be reported as interest receivable as of December 31, 2019? *
7. On July 1, 2018, TRES Company purchased an 8-yr, 12% bonds with a face value of ₱ 4,875,000 at 102 plus accrued interest to be recognized at amortized cost. The bonds mature on June 30, 2022 and pay interest semi-annually on April 1 and October 1. How much is the cash received upon acquisition? *
8. At the beginning of the current year, QUATRO Company purchased 5-year bonds with a face amount of ₱ 2,250,000 at a stated interest of 10% per year payable semi-annually every January 1 and July 1. The bonds were acquired to yield 8%. The present value of an annuity of 1 for 10 periods at 5% is 7.72; present value of an annuity of 1 for 10 periods at 4% is 8.11; present value of 1 for 10 periods at 4% is .676; present value of 1 for 10 periods at 5% is .614; present value of 1 for 5 periods at 10% is .621; present value of 1 for 5 periods at 8% is .681. What is the market or purchase price of the bonds upon acquisition? *
9. At the beginning of the current year, QUATRO Company purchased 5-year bonds with a face amount of ₱ 2,250,000 at a stated interest of 10% per year payable semi-annually every January 1 and July 1. The bonds were acquired to yield 8%. The present value of an annuity of 1 for 10 periods at 5% is 7.72; present value of an annuity of 1 for 10 periods at 4% is 8.11; present value of 1 for 10 periods at 4% is .676; present value of 1 for 10 periods at 5% is .614; present value of 1 for 5 periods at 10% is .621; present value of 1 for 5 periods at 8% is .681. What is the interest income for the current year? (Round off answer to the nearest whole number) *
