How to solve

Pepper Enterprises owns $95$ percent of Salt Corporation. On January $1,20$X$1,$ Salt issued $$250,000$ of five$-$year bonds at $115.$ Annual interest of $14$ percent is paid semiannually on January $1$ and July $1.$ Pepper purchased $$150,000$ of the bonds on August $31,203,$ at par value. The following balances are taken from the separate $203$ financial statements of the two companies:

Note: Assume using straight$-$line amortization of bond discount or premium.

$\backslash$table$[[,$Pepper,Salt$],[$Enterprises$,$Corporation,$],[$Investment in Salt Corporation Bonds,$$155,700,],[$Interest Income,$7,583,],[$Interest Receivable,$10,500,],[$Bonds Payable,,$$250,000$