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gizmo_the_mogwai [7]
3 years ago
7

On December 31, Year 1, Ott Co. had investments in marketable debt securities as follows: Amotized Cost Market value Mann Co. $1

0,000 $8,000 Kemo, Inc. $9,000 $10,000 Fenn Corp. $11,000 $9,000 $30,000 $27,000 The Mann investment is classified as held-to-maturity, while the remaining securities are classified as available-for-sale. Ott does not elect the fair value option for reporting financial assets. Ott's December 31, Year 1, balance sheet should report total marketable debt securities as
Business
1 answer:
Ahat [919]3 years ago
7 0

Answer:

$29,000

Explanation:

The Held-to-maturity securities to be carried at amortized cost

The available-for-sale & trading securities to be carried at fair value (FV).

Therefore, the investment portfolio is reported at the following amounts:

Mann Co.   $10,000 (Cost)

Kemo, Inc.  $10,000 (Fair value)

Fenn Corp. $9,000 (Fair value)

Total           $29,000

So, Ott's December 31, Year 1, balance sheet should report total marketable debt securities as $29,000

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An adjusting entry was made on year-end December 31 to accrue salary expense of $1,500. Assuming the company does not prepare re
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Answer and Explanation:

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obinson Company had a net deferred tax liability of $34,000 at the beginning of the year, representing a net taxable temporary d
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