1.

b. Prepare Montys journal entry for the December 31 interest accrual. (Round answers to 2 decimal places, e.g. 52.75. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit

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List of Accounts

c. Prepare Montys journal entry for the year-end fair value adjustment. (Round answers to 2 decimal places, e.g. 52.75. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit

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List of Accounts

d. Assume Monty applies ASPE, uses the effective interest method, and follows a policy of reporting interest income separately, prepare Montys journal entry for the December 31 interest accrual. (Round answers to 2 decimal places, e.g. 52.75. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit

eTextbook and Media

List of Accounts

e. Assuming Monty applies ASPE, uses the effective interest method, and follows a policy of reporting interest income separately, prepare Montys journal entry for the year-end fair value adjustment. (Round answers to 2 decimal places, e.g. 52.75. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit

On October 1, Monty Ltd. purchased 8% bonds with a face value of $ 1,000 for trading purposes, accounting for the investment at FV- NI. The bonds were priced at 1.026 to yield Monty 6%, and pay interest annually each October 1. Monty has a December 31 year end, and at this date, the bonds' fair value was $ 1,045. Assume Monty applies IFRS. Prepare Monty's journal entry for the purchase of the investment. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit 1