On July 1, 2024, Teal Mountain Inc., a public company, purchased $550,000 of Indigo Corp. 10-year, 3% bonds for $505,100 to earn interest. The bonds had a market interest rate of 4%. The bonds pay interest semi-antivaly on january 1 and July 1. Teal Mountain Inc. has a December 31 year end. At December 31, 2024, the bonds are trading at 96.

1.) Please fill in the blanks

Record any adjusting journal entries that are required at December 31 for Teal Mountain Inc. and Indigo Corp. (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. Round answers to 0 decimal places, eg. 5,275. List all debit entries before credit entries.) Teal Mountain (investor) Indigo (investee)