Item $1$

Live Large Inc. had the following transactions involving non$-$strategic investments during $2023.$

$2023$

Apr. $1$ Paid $$110,050$ to buy a $90-$day term deposit, $$110,000$ principal amount, $5\mathrm{.}0\%,$ dated April $1.$ There was a $$50$ transaction fee included in the above$-$noted payment amount.

$12$ Purchased $4,000$ common shares of Blue Balloon Ltd$.$ at $$22\mathrm{.}50.$ There was a $$50$ transaction fee included in the above$-$noted payment amount.

June $9$ Purchased $2,800$ common shares of Purple Car Corp. at $$49\mathrm{.}50.$ There was a $$50$ transaction fee included in the above$-$noted payment amount.

$20$ Purchased $1,200$ common shares of Yellow Tech Ltd$.$ at $$16\mathrm{.}00.$ There was a $$50$ transaction fee included in the above$-$noted payment amount.

July $1$ Purchased for $$77,784$ a $7\mathrm{.}0\%,$ $$75,000$ Space Explore Inc. bond that matures in eight years when the market interest rate was $6\mathrm{.}4\%.$ There was a $$50$ transaction fee included in the above$-$noted payment amount. Interest is paid semiannually beginning December $31,2023.$ Live Large Inc. plans to hold this investment until maturity.

$3$ Received a cheque for the principal and accrued interest on the term deposit that matured on June $30.$

$15$ Received a $$0\mathrm{.}95$ per share cash dividend on the Blue Balloon Ltd$.$ common shares.

$28$ Sold $2,000$ of the Blue Balloon Ltd$.$ common shares at $$26\mathrm{.}25.$

Sept. $1$ Received a $$2\mathrm{.}10$ per share cash dividend on the Purple Car Corp. common shares.

Dec. $15$ Received a $$1\mathrm{.}55$ per share cash dividend on the remaining Blue Balloon Ltd$.$ common shares owned.

$31$ Received the interest on the Space Explore Inc. bond.

$31$ The fair values of Live Large Inc.$$s investments on this date were Blue Balloon shares, $$25\mathrm{.}60$; Purple Car Corp. shares, $$43\mathrm{.}35$; Yellow Tech shares, $$18\mathrm{.}55.$ Assume the fair value and the carrying value of the Space Explore bond were equal.

$2024$

Feb. $16$ Sold the remaining Blue Balloon shares at $$26\mathrm{.}50.$

Required:

$1.$ Prepare an amortization schedule for the Space Explore bond showing only $2023$ and $2024.($Round your intermediate and final answers to the nearest whole dollar amount. Enter all the amounts as positive values. Use $365$ days in a year.$)$

$2.$ Prepare journal entries to record the preceding transactions. $($Round your intermediate and final answers to the nearest whole dollar amount. Use $365$ days in a year.$)$

$$

$1$

Record the purchase of $5\mathrm{.}0\%$ term deposit as short$-$term investment.

$2$

Record the purchase of short$-$term investment.

$3$

Record the purchase of short$-$term investment.

$4$

Record the purchase of short$-$term investment.

$5$

Record the purchase of a $7\mathrm{.}0\%,8-$year bond.

$6$

Record the collection of term deposit and interest earned.

$7$

Record the collection of dividend income.

$8$

Record the sale of short$-$term investment.

$9$

Record the collection of dividend income.

$10$

Record the collection of dividend income.

$11$

Record the collection of interest on the bond.

$12$

Record fair value adjustment.

$13$

Record the sale of investment.

$$

Cash

$$ Dividend income

$$ Interest income

$$ Investment $$ Blue Balloon shares

$3.$ Show how Live Large Inc.$$s investments will appear on its December $31,2023,$ balance sheet. $($Round your intermediate and final answers to the nearest whole dollar amount.$)$