Flint Co. has a held-to-maturity investment in the bonds of Schuyler Corp. with a carrying value of $76,700. Flint determined that due to poor economic prospects for Schuyler, the bonds have decreased in value to $65,000. It is determined that this loss in value is uncollectible. Prepare the journal entry, if any, to record the reduction in value.

The journal entry to record the reduction in value would be:

Account Title                                Debit              Credit

Loss on Impairment                     11,700

Debt Investments (Available-for-Sale)                11,700

$76,700 - $65,000 = 11,700

In this case, a loss has occurred and the individual security should be written down. If Flint Co. has already recognized an unrealized holding loss—equity, an additional entry is needed to reverse this amount as well as eliminate the fair value adjustment (available-for-sale) account.

hi : ) i found this so i hope this !

"we first find value of tax in dollars.

the difference between the two prices   is: 23. 54 - 22 = 1.54

therefore the sales tax in dollars is 1.54

the tax % will be   (amount of tax / original cost price ) × 100

(1.54 / 22) × 100  → (0.07) × 100 =   7

so the tax rate is 7%

we can double check the answer.

7 % of 22   → (7/100) × 22 → 0.07 × 22 = 1.54

22 + 1.54 = 23.54"

answer; ///hong kong;