LED Corporation owns $3,000,000 of Branch Pharmaceuticals bonds and classifies its investment as securities held-to-maturity. The market price of Branch's bonds fell by $1,650,000 due to concerns about one of the company's principal drugs. The concerns were justified when the FDA banned the drug. LED views $780,000 of the $1,650,000 loss as related to credit losses, and the other $870,000 as noncredit losses. LED thinks it is more likely than not that it will have to sell the investment before fair value recovers. What journal entries should LED record to account for any credit or noncredit losses in the current period? How should the decline affect net income and comprehensive income? Answer is not complete. Complete this question by entering your answers in the tabs below. What journal entries should LED record to account for any credit or noncredit losses in the current period? Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. LED Corporation owns $3,000,000 of Branch Pharmaceuticals bonds and classifies its investment as securities held-to-maturity. Th market price of Branch's bonds fell by $1,650,000 due to concerns about one of the company's principal drugs. The concerns were justified when the FDA banned the drug. LED views $780,000 of the $1,650,000 loss as related to credit losses, and the other $870,000 as noncredit losses. LED thinks it is more likely than not that it will have to sell the investment before fair value recovers. What journal entries should LED record to account for any credit or noncredit losses in the current period? How should the decline affect net income and comprehensive income? Answer is not complete. Complete this question by entering your answers in the tabs below. How should the decline affect net income and comprehensive income? Note: Negative amounts should be entered with minus sign. S\&L Financial buys and sells securities that it typically classifies as available-for-sale. Assume that on December 27, 2024, S\&L purchased Coca-Cola bonds at par for $790,000 and sold the bonds on January 3,2025 , for $795,000. At December 31 , the bonds had a fair value of $786,000. When it purchased the Coca-Cola bonds, S\&L Financial decided to elect the fair value option for this investment. What pretax amounts did S\&L include in its 2024 and 2025 net income as a result of this investment (ignoring interest)? Note: Enter all amounts as positive values. S\&L Financial buys and sells securities which it classifies as available-for-sale. Assume that on December 27, 2024, S\&L purchased Coca-Cola bonds at par for $935,000 and sold the bonds on January 3, 2025, for $937,500. At December 31 , the bonds had a fair value of $931,000, and S\&L has the intent and ability to hold the investment until fair value recovers. What pretax amounts did S\&L include in its 2024 and 2025 net income as a result of this investment? Note: Enter all amounts as positive values
