The following information relates to noncurrent investments that Fall Corp. placed in trust as required by the underwriter of its bonds:
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|
Bond sinking fund balance, 12/31/06 |
$ 450,000 |
|
2007 additional investment |
90,000 |
|
Dividends on investments |
15,000 |
|
Interest revenue |
30,000 |
|
Administration costs |
5,000 |
|
Carrying amount of bonds payable |
1,025,000 |
What amount should Fall report in its December 31, 2007 balance sheet related to its noncurrent investment for bond sinking fund requirements?
- $585,000
- $580,000
- $575,000
- $540,000