ABC Co. has been actively trying to increase its business in the Spanish market. (40 points) Its accounting year runs from 1 January to 31 December. During the year ended 31 December 206 it made the following investments in financial instruments. Required: What are the accounting entries for purchase at their initial acquisition and the fair value adjustment / interest expense at at 31 Dec 206 for the aforementioned financial instruments? Calculate and show the amortization schedule for investments in Bonds A and C respectively? Element 2 ABC Co. has also issued a Bond D for $60,778 on 1 January 20X2. No interest is payable on the bond, but it will be (30 points) redeemed on 31 December 209 for $150,000. The issue cost of the bond is $2000. The effective interest rate of the bond is 12.4241%. Required: Make the complete amortization schedule for the aformentioned Bond D and clearly show the accounting entry for the coupon and the interest expense on this bond for the year ended 31 Dec 20X6? Element 3 On 1 January 20X4, ABC Co. issued 10,000,000 6\% convertible bonds at their par value of $1 each. The bonds (30 points) will be redeemed on 31 December 207 at par. Each bond is convertible at the option of the holder at any time during the four-year period. Interest on the bond will be paid annually in arrears. The prevailing market interest rate for similar debt without conversion options at the date of issue was 7%. Required: Calculate is the equity and liability element of this bond and clearly show the complete amortization schedule of the bond? and clearly show the accounting entry for the coupon and the interest expense on this bond for the year ended 31 Dec 206 ? ABC Co. has been actively trying to increase its business in the Spanish market. (40 points) Its accounting year runs from 1 January to 31 December. During the year ended 31 December 206 it made the following investments in financial instruments. Required: What are the accounting entries for purchase at their initial acquisition and the fair value adjustment / interest expense at at 31 Dec 206 for the aforementioned financial instruments? Calculate and show the amortization schedule for investments in Bonds A and C respectively? Element 2 ABC Co. has also issued a Bond D for $60,778 on 1 January 20X2. No interest is payable on the bond, but it will be (30 points) redeemed on 31 December 209 for $150,000. The issue cost of the bond is $2000. The effective interest rate of the bond is 12.4241%. Required: Make the complete amortization schedule for the aformentioned Bond D and clearly show the accounting entry for the coupon and the interest expense on this bond for the year ended 31 Dec 20X6? Element 3 On 1 January 20X4, ABC Co. issued 10,000,000 6\% convertible bonds at their par value of $1 each. The bonds (30 points) will be redeemed on 31 December 207 at par. Each bond is convertible at the option of the holder at any time during the four-year period. Interest on the bond will be paid annually in arrears. The prevailing market interest rate for similar debt without conversion options at the date of issue was 7%. Required: Calculate is the equity and liability element of this bond and clearly show the complete amortization schedule of the bond? and clearly show the accounting entry for the coupon and the interest expense on this bond for the year ended 31 Dec 206