On January 1 , 2020 Genevieve Ltd. purchased 2 % $ 100,000 ( par value ) bonds for $ 98,073 The bonds were purchased to yield 3 % Interest is paid on July 1 and January 1 and the bonds mature on January 1 , 2019. Genevieve uses the amortized cost method and the effective - interest method to amortize the premium . Genevieve has a year end of December 31 and follows ASPE Required : a ) b ) Prepare the required journal entry on January 1 , 2020. ( 1.5 marks ) Prepare the bond amortization schedule . Round all values to the nearest dollar 7 marks ) Prepare the required journal entry on July 1 , 2020. ( 3 marks ) What is the carrying value of the investment at December 31 , 2020 ? ( 1 marks ) Prepare the required journal entries on January 1 , 2022. ( 1.5 marks ) d ) e )