n January 1, 2018, Elkhardt Ltd. purchased $215,000 of 12%, 10-year bonds at face value (100) with the intention of selling the bonds early the next year. Interest is received semi-annually on July 1 and January 1. At December 31, 2018, which is the companys fiscal year end, the bonds were trading in the market at 98 (this means 98% of maturity value).

Prepare any adjusting entries required at December 31. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31 (To accrue interest revenue on bonds) Dec. 31 To record unrealized net gain/loss on trading investments)