In-class Exercise Chapter 14-15 1.Present entries to record the selected transactions described below: (a) Issued $2,750,000 of 10-year, 8% bonds at 97 (b) Amortized bond discount for a full year, using the straight-line method. (c) Called bonds at 98. The bonds were carried at S2,692,250 at the time of the redemption 2.Glover Corporation issued o 7.5%, 6-year bonds dated March 1, 2011, with semiannual interest payments on September l and March 1. The bonds were issued on March 1, 2011, at 97 Glover's year-end is December 31 a) Were the bonds issued at a premium, a discount, or at par? b) was the market rate of interest higher, lower, or the same as the contract rate of interest? c) If the company uses the straight-line method of amortization, what is the amount of interest expense Glover Corporation will show for the year ended December 31,2011? d) What is the carrying value of the bonds on December 31, 2011? 3.Prepare the journal entries for the following transactions for Batson Co (a) Batson Co. purchased 1.200 shares of the total of 100,000 outstanding shares of Michael Corp. stock for $20.75 per share plus a $70 commission. (b) Michael's total earnings for the period are $84,000. (c) Michael paid a total of $40,000 in cash dividends to shareholders of record. 4. Prepare the journal entries for the following transactions for Morgan Co (a) Morgan Co. purchased 32,000 shares of the total of 100,000 outstanding shares of Gordon Corp. stock for $10 per share plus a $400 commission (b) Gordon Corp.'s total earnings for the period are S80,000. (c) Gordon Corp. paid a total of$45,000 in cash dividends. .The cost and fair value of the trading securities held by AdBrand Company as of December 31, 2012 are as follows: Fair Value per Share per Share Total Cost Fair Value 600 900 985 5 ttsD 5 Bristen Corp 900 4.10 400 2, 3G00 Geston Company Quanter Company Total Required (l) Complete the table above to find the total cost and fair value for the company's trading securities portfolio. (2) Calculate and record the required December 31, 2012 adjustment (3) Explain how the adjustment from step (2) is reported on AdBrand's 2012 financial statements. cuss the similarities an ferences in reporting trading securities, available-for-sale securities and held-to-maturity sec