LED Corporation owns $2.1 million of branch pharmaceuticals bonds in classify as its investments as securities held to maturity. The market price of branches bonds fell by $966,000 due to concerns about one of the companies principal drugs. The concerns were justified with the FDA band the drug. LED views $440,000 of the $966,000 loss as related to credit losses in the other $526,000 as non-credit losses. LED thinks it is more likely than not that will have to sell the investment before fair value recovers. what journal entries should LED record to account for any credit or non-credit losses in the current period? How should the decline affect net income and comprehensive income?

Complete this question by entering your answers in the tabs below. General Journal Effect What journal entries should LED record to account for any credit or noncredit losses in the current period? (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Transaction Debit Credit 1 1 General Journal Loss on impairment (NI) Reclassification adjustment (OCI) Effect Answer is not complete. Complete this question by entering your answers in the tabs below. General Journal Effect How should the decline affect net income and comprehensive income? (Negative amounts should be entered with minus sign.) Net income Other comprehensive income Net effect on comprehensive incomo Effect (440,000) $ 526,000