On June 30, 2022 Maxim Corp purchased 7%, $100,000 10 year bonds. Interest is paid annually on Dec 31. Maxim uses the amortized cost model and the effective interest method for amortizing any premium or discount. The current market rate was 8% and as a result Maxim paid $93,290 for the bonds. On December 31, 2022 the bonds have a market value of $90,000. The bonds had a market value of $93,000 on December 31, 2023.

Assuming the company uses amortized cost to account for the investment, record the purchase of the bonds and the entries for 2022.