Monty Corp, prepares financial statements annually on December 31, its fiscal year end. The company follows IFRS. At December 31, 2020, the company has the account Investments in its general ledger, containing the following debits for investment purchases, and no credits: Feb. 1 2020 Chiang Corp.common shares, no par value, 200 shares $ 37,200 April 1 Government of Canada bonds, 6%, due April 1, 2030, Interest payable April 1 and October 1. 100 bonds of $1,000 par value each 100,000 July 1 Monet Corp. 12% bonds, par $51,000, dated March 1, 2020. purchased at 106 plus accrued interest to yield 11%, interest payable annually on March 1, due on March 1, 2037 56,100 Nov. 1 $61,000, six-month non-interest-bearing note that matures on May 1, 2021, bought to yield 10% 58,095 The fair values of the individual securities on December 31, 2020, were: Chiang Corp.common shares (active stock market price) 33,300 Government of Canada bonds 105,100 59,000 Monet Corp. bonds Note receivable 60,350 Instructions (Round amounts to the nearest dollar.) a. Prepare the entries necessary to correct any errors in the Investments account, assuming that the Government of Canada bonds were being managed for their yield to maturity, and that the Monet bonds were acquired with the hope of gaining from falling interest rates. The Chiang Corp, shares were acquired with the hope of ensuring the supply of raw materials from this company in the future. Octavio tracks interest income for all debt investments, b. Prepare the entries required to record any accrued interest, amortization of any premium or discount, and recognition of fair values on December 31, 2020. c. During 2021, the following transactions took place 1. The note was sold on February 1, 2021, for $59,600. 2. The Government of Canada bonds were sold on July 1, 2021, for $109,200 plus accrued interest. Prepare entries to record these transactions. d. Using the information from parts (a) and (b), assume that the note was not sold on February 1, 2021, but instead was held until it matured Provide the proper entry to record the disposal of the note at maturity, e. Assume that Octavio Corp. is a private entity and applies ASPE. Identify which, if any, of your answers to parts (a) to (d) would change under this assumption. Explain briefly. Monty Corp, prepares financial statements annually on December 31, its fiscal year end. The company follows IFRS. At December 31, 2020, the company has the account Investments in its general ledger, containing the following debits for investment purchases, and no credits: Feb. 1 2020 Chiang Corp.common shares, no par value, 200 shares $ 37,200 April 1 Government of Canada bonds, 6%, due April 1, 2030, Interest payable April 1 and October 1. 100 bonds of $1,000 par value each 100,000 July 1 Monet Corp. 12% bonds, par $51,000, dated March 1, 2020. purchased at 106 plus accrued interest to yield 11%, interest payable annually on March 1, due on March 1, 2037 56,100 Nov. 1 $61,000, six-month non-interest-bearing note that matures on May 1, 2021, bought to yield 10% 58,095 The fair values of the individual securities on December 31, 2020, were: Chiang Corp.common shares (active stock market price) 33,300 Government of Canada bonds 105,100 59,000 Monet Corp. bonds Note receivable 60,350 Instructions (Round amounts to the nearest dollar.) a. Prepare the entries necessary to correct any errors in the Investments account, assuming that the Government of Canada bonds were being managed for their yield to maturity, and that the Monet bonds were acquired with the hope of gaining from falling interest rates. The Chiang Corp, shares were acquired with the hope of ensuring the supply of raw materials from this company in the future. Octavio tracks interest income for all debt investments, b. Prepare the entries required to record any accrued interest, amortization of any premium or discount, and recognition of fair values on December 31, 2020. c. During 2021, the following transactions took place 1. The note was sold on February 1, 2021, for $59,600. 2. The Government of Canada bonds were sold on July 1, 2021, for $109,200 plus accrued interest. Prepare entries to record these transactions. d. Using the information from parts (a) and (b), assume that the note was not sold on February 1, 2021, but instead was held until it matured Provide the proper entry to record the disposal of the note at maturity, e. Assume that Octavio Corp. is a private entity and applies ASPE. Identify which, if any, of your answers to parts (a) to (d) would change under this assumption. Explain briefly