On January 1, 2021, TAAD Corp purchased TARRA INC with a face value of US$270,000. Bonds. The stipulated interest rate on TARRA INC bonds is 10%. Interest is paid semiannually on June 30 and December 31, and the bonds mature in 10 years. For bonds with similar risks and maturities, the yield on a specific date is as follows. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1, and PVAD of $1) use the appropriate factors from the tables of each factor) January 1, 2021, 11.0% June 30, 2021, 12.0% December 31, 2021, 14.0%

1) Calculate the Price TAAR Corp would have paid for the TERRA INC Bonds on January 1, 2021(ignore brokerage fees) and Make a journal entry to record the purchase

1)Do a journal entry to record the purchase of purchase_________________

2.1)Record the investment in bonds with a face value of $270000n, a stated semi-annual annuity.

DateGeneral JurnalDr. Cr

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January 1 2021_____________________________________________________________________

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2.2***Record the interest Revenue

DateGeneral JournalDrCr

January 30 2021______________________________________________________________________________________________________

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2.3)Record the fair Value adjustment when the market yield is 12%

DateGeneral JournalDrCr

June 30 2021______________________________________________________________________________________________________________

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2.4Record the interest Revenue

DateGeneral JournalDrCr

December 31 2021________________________________________________________________________________________________________

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2.5Record the Fair Value adjustment when the market yield is 14%

DateGeneral JournalDr. Cr

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3Make all appropriate jounal entries related to the bond investment during 2021, assume that TAAD chse the fair vlued reporting option when the bonds were purchase and TAAD determines fair value of the bonds swemi-anually. TAAD calculates interest revenue at the effective rate as of the date it purchased the bonds (If no entry is required for the transuction/enent select "no Journal entries required" in the first account field. Do not round your intermediate calculation and round your final answer to the nerestwhole number.

3.1Record the investment in bonds with a face value of $270 000 Stated interest rate of 10% and a market yield of 11%. thebonds pay interest Semi-Annually

___Date_____________________________________________________General Journal__________________________DR ___________________Cr ______

January 1 2021____________________________________________________________________________________________________________________

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3.2Record the Interes Revenu

DateGeneral JournalDrCr

June 30 2021______________________________________________________________________________________________________________

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3.3Record the fair adjustment when the market yield is 12%

DateGeneral JournalDrCr

June 30 2021,_________________________________________________________________________________________________________________

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3.4Record the interest Revnue

DateGeneral JournalDrCr

December 31 2021_______________________________________________________________________________________________________________

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3.5Record the fair value adjustment when the market yields14%

DateGeneral journalDrCr

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