madnessrelic1616 madnessrelic1616

25-11-2022
Business

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Hendricks Corporation purchased trading investment bonds for $50,000 at par. At December 31, Hendricks received annual interest of $2,000, and the fair value of the bonds was $47,400.
Required:
Prepare Hendricks journal entries for:
(a) the purchase of the investment
(b) the interest received
(c) the fair value adjustment

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