On $1$ January $2022$ solutions Ltd purchased $5000$ debentures in kappa Ltd at a discount of $10\%$ on the face value of R$50$ per debenture. The market$-$related interest rate

on similar debentures was $16,51433\%.$ A coupon rate of $13\%$ per annum is payable

in arrears on $30$ June and $31$ December. The debentures will be repaid on $31$ December $2025$ at face value. Transaction costs paid by solutions Ltd amounted to

R$1500.$ The investment in debentures is held within the business model with the objective to collect contractual cash flows of interest and principal.

On $1$ January $2022$ solutions Ltd assessed the probability that kappa Ltd might fault

on payments and estimated the $12-$month expected credit losses on the debentures

to be R$1800.$ At the financial year end, $31$ December $2022,$ there was no change in

the estimation of the $12-$month expected credit losses

Required

Prepare all the journal entries required in the records of solutions Ltd for the year ended $31$ December $2022$