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On January 1, 2020, a Company Paid $100,000 to Purchase

Question 104

Essay

On January 1, 2020, a company paid $100,000 to purchase 100 Government of Canada bonds that have a maturity date of December 31, 2024 and pay interest at 4%. At December 31, 2020, the bonds had a quoted price of $1,050 per bond.
Fill in the attached table assuming
a. Classified at fair value through profit or loss
b. Classified at fair value through other comprehensive income
ab Financial asset category for the  balance sheet  Accounting method that should  be used  Tec 31,2020 balance sheet value  for the financial asset  Interegt income for 2020  Inrealized gain or loss on the  income statement  Total recognized in the income  statement  Jnrealized gain or loss in DCI  Total recognized in  comprehensive income \begin{array} { | l | l | l | } \hline & \mathbf { a } & \mathbf { b } \\\hline \text { Financial asset category for the } & & \\\text { balance sheet } & & \\\hline \text { Accounting method that should } & & \\\hline \text { be used } & & \\\hline & & \\\hline \text { Tec } 31,2020 \text { balance sheet value } & & \\\text { for the financial asset } & & \\\hline \text { Interegt income for 2020 } & & \\\hline \text { Inrealized gain or loss on the } & & \\\text { income statement } & & \\\hline \text { Total recognized in the income } & & \\\text { statement } \\\hline \text { Jnrealized gain or loss in DCI } & & \\\hline \text { Total recognized in } \\\text { comprehensive income } & & \\\hline\end{array}

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