I am not sure so sport but ikr
Answer:
Journal Entry
01 July Debit Investment $240 million Credit Bank $200 million Credit Discount on investment $40 million
31 Dec Debit Bank $7,2 Million Debit Discount on Bond $0.8 million Credit Interest Income $8 million
Debit Fair Value loss on investment $30 million Credit Investment $30 million
Explanation:
Interest is received semiannually
6%/2 = 3%
interest = $240 million * 3% =7,200,000
8%/2 = 4%
Interest market $200 million * 4% =8,000,000
Fair value loss = 240 million - 210 million
= 30 million loss because cost is greater than fair value
Doc's ribhouse ending equity would be $102,000 if has beginning equity of 79000 and net icome of 23000.
<h3>What is equity?</h3>
Equity is the amount of capital invested or owned by the owner of a company. The equity is evaluated by the difference between liabilities and assets recorded.
Doc's ribhouse beginning equity
= $79,000
Net income
= $23,000
Ending equity
= ?
Ending Equity
= Beginning Equity + Net Income - Dividends
= $79,000 + $2
= $102,000
Hence, Doc's ribhouse ending equity would be $102,000
Learn more about equity here : brainly.com/question/11556132
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