Eastwood Enterprises owns 28,000 bonds of the Van Cleef Company (5% of the outstanding debt of Van Cleef). Eastwood is trying to determine Van Cleef's fair value. The relevant facts are as follows: Eastwood bought the Van Cleef bonds earlier in the accounting period for $10.00/bond at a time when the bonds were publicly traded. Since Eastwood bought the bonds, Van Cleef has been delisted and there is no longer an active market in the Van Cleef bonds. Eastwood's internal valuation specialist estimates the Van Cleef bonds to be worth $7.80/bond. Eastwood plans to continue holding the bonds, but may someday sell them if their value increases sufficiently. Required: 1. What is the fair value of Eastwood's investment in Van Cleef? 2. Prepare a journal entry to record any necessary fair value adjustment. Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is the fair value of Eastwood's investment in Van Cleef? Fair value Eastwood Enterprises owns 28,000 bonds of the Van Cleef Company (5% of the outstanding debt of Van Cleef). Eastwood is trying to determine Van Cleef's fair value. The relevant facts are as follows: Eastwood bought the Van Cleef bonds earlier in the accounting period for $10.00/bond at a time when the bonds were publicly traded. Since Eastwood bought the bonds, Van Cleef has been delisted and there is no longer an active market in the Van Cleef bonds. Eastwood's internal valuation specialist estimates the Van Cleef bonds to be worth $7.80/bond. Eastwood plans to continue holding the bonds, but may someday sell them if their value increases sufficiently. Required: 1. What is the fair value of Eastwood's investment in Van Cleef? 2. Prepare a journal entry to record any necessary fair value adjustment. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a journal entry to record any necessary fair value adjustment. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record any necessary fair value adjustments. Note: Enter debits before credits. Transaction General Journal Debit Credit