1. ON JANUARY 1, 2002 JAMES-BOND COMPANY PURCHASED ALL THE STOCK OF SPECTRE COMPANY AT BOOK VALUE. ON JANUARY 1, 2010 JAMES-BOND COMPANY ISSUED (SOLD) $1,000,000 10 YEAR 8% BONDS AT 98. ON JANUARY 1, 2013 SPECTRE COMPANY PURCHASED THESE BONDS AS AN INVESTMENT IN THE OPEN MARKET AT 102. BOTH JAMES-BOND AND SPECTRE USE THE STRAIGHT-LINE METHOD OF AMORTIZING BOND DISCOUNTS AND PREMIUMS. NOTE: JAMES-BOND USED THE INITIAL VALUE METHOD TO RECORD ITS INVESTMENT IN SPECTRE AND SPECTRE DOES NOT PAY DIVIDENDS. REQUIRED;
2. MAKE THE JOURNAL ENTRY JAMES-BOND MAKES WHEN IT ISSUED THE BONDS TO THE PUBLIC IN 2010
3. WHAT IS THE ANNUAL INTEREST EXPENSE FOR JAMES-BOND
4. MAKE THE JOURNAL ENTRY SPECTRE MAKES IN 2013 WHEN IT BUYS THE BONDS
5. WHAT IS THE ANNUAL INTEREST REVENUE FOR SPECTRE FROM THESE BONDS
6. MAKE ANY WORKSHEET ENTRIES NEEDED IN 2013 CONNECTED WITH THE BONDS
7. IN 2013 JAMES-BOND REPORTED (UNCONSOLIDATED) INCOME OF $400,000 AND SPECTRE REPORTED INCOME OF $44,000 WHAT WAS CONSOLIDATED INCOME IN 2013?
8. MAKE ANY WORKSHEET ENTRIES NEEDED IN 2014 CONNECTED WITH THE BONDS
9. IN 2014 JAMES-BOND REPORTED (UNCONSOLIDATED) INCOME OF $450,000 AND SPECTRE REPORTED INCOME OF $45,000; WHAT WAS CONSOLIDATED INCOME IN 2014?