Kirkland Company had no trading debt securities prior to this year. It had the following transactions this year involving trading debt securities. Aug. 2 Purchased Verizon bonds for $50,000. Sept. 7 Purchased Apple bonds for $75,000. 12 Purchased Mastercard bonds for $60,000. Oct. 21 Sold some of its Verizon bonds that had cost $4,000 for $4,100 cash. 23 Sold some of its Apple bonds that had cost $55,000 for $55,400 cash. Nov. 1 Purchased Walmart bonds for $80,000. Dec. 10 Sold all of its Mastercard bonds for $58,000 cash. Required 1. Prepare journal entries to record these transactions. 2. Prepare a table to compare the year-end cost and fair values of its trading debt securities. Year-end fair values: Verizon, $48,500; Apple, $42,000; and Walmart, $59,000. 3. Prepare the adjusting entry to record the year-end fair value adjustment for the portfolio of trading debt securities. Journal entry worksheet Purchased Verizon bonds for $50,000. Note: Enter debits before credits. General Journal Debit Credit Date Aug. 2 Journal entry worksheet Journal entry worksheet Record the year-end adjustment to fair value, if any. Note: Enter debits before credits. Date Account Title Debit Credit Dec. 1