Accounting 26th Edition by Carl Warren ,Jim Reeve ,Jonathan Duchac

تمرين 34

Debt investment transactions, available-for-sale valuation
Rekya Mart Inc. is a general merchandise retail company that began operations on January 1, Year 1. The following transactions relate to debt investments acquired by Rekya Mart Inc., which has a fiscal year ending on December 31:

Instructions
1. Journalize the entries to record these transactions.
2. If the bond portfolio is classified as available for sale, what impact would this have on financial statement disclosure