Brief Exercise 17-11
	Pharoah Company invests $10,400,000 in 5% fixed rate corporate bonds on January 1, 2017. All the bonds are classified as available-for-sale and are purchased at par. At year-end, market interest rates have declined, and the fair value of the bonds is now $11,078,000. Interest is paid on January 1.
	Prepare journal entries for Pharoah Company to (a) record the transactions related to these bonds in 2017, assuming Pharoah does not elect the fair option; and (b) record the transactions related to these bonds in 2017, assuming that Pharoah Company elects the fair value option to account for these bonds. (Credit account titles are automatically indented when 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.)
			NOTE: I only need help on items I have bolded below Accounts all esle is correct
	a)	Pharoah does not elect the fair value option
		Date	Account					Debit	Credit
	Jan 1 2017		Debt Investment					10,400,000
			Cash						10,400,000
	31-Dec-17		Interest Recivable (10,400,000*.5%)					520,000
			Interest Revenue (10,400,000*.5%)						520,000
			(to record the interest revenue)
			Debt Investment (11,078,000-10,400,000)					678,000
			Available for Sale (AFS)						678,000
			(to record fair value adjustment)
	b)	Pharoah elects the fair value option
		Date	Account					Debit	Credit
	1-Jan-17		Debt Investment					10,400,000
			Cash						10,400,000
	Dec 31 2017		Interest Recivable (10,400,000*.5%)					520,000
			Interest Revenue						520,000
			(to record the interest revenue)
			Debt Investment (11,078,000-10,400,000)					678,000
			Fair Value to Profit and Loss						678,000
			(to record fair value adjustment)