Atlanta Inc. holds an AFS bond investment in Falcons Corporation. The amortized cost of the investment is $562,000 on December 31. Atlanta Inc. estimates the fair value of the bonds to be $520,000. The unrealized loss of $42,000 is partially due to a credit loss of $32,000, with the remaining portion due to other factors. The company adjusted the AFS bonds to fair value through OCI on December 31. a. Record the impairment loss on December 31, assuming that the company does not intend to sell the investment and does not believe it is more likely than not that it will be required to sell the investment before recovery of any unrealized loss. Date Account Name Dec. 31 Loss on Impairment Allowance for Credit Losses N/A-Debit N/A-Credit: To record the impairment loss. Debit Credit 42,000 0x 0 42,000 x 0 D 0x 0x b. Record the impairment loss on December 31, now assuming that the company intends to sell the investment. Date (b) Dec. 31 Check Account Name To record the impairment loss. Debit Credit 0 0x 0 Dx 0 0 x 0 0x