PROBLEM 1: RED Company had the following transactions in bond investment held as trading for the current year: April 1- Purchased 2,000, P1,000, 12% bonds of Orange Company at 92 excluding accrued...

1. What is the total carrying value of the investment in bonds at year end 2020?

Extracted text: PROBLEM 1: RED Company had the following transactions in bond investment held as trading for the current year: April 1- Purchased 2,000, P1,000, 12% bonds of Orange Company at 92 excluding accrued interest. Interest is payable on February 1 and August 1 April 30 – Purchased 3,000, #1,000, 10% bonds of Yellow Corporation at 96 plus accrued interest. Interest is payable March 1 and September 1 October 1- Sold 1,200 of the Yellow bonds at 103 excluding interest November 30 - Sold 70% of the Orange bonds at 90 plus accrued interest December 31 - The market value of ORANGE bonds is 88; YELLOW Bonds is 105