On October 1, Blue Spruce Ltd. purchased 8% bonds with a face value of $1,000 for trading purposes, accounting for the investment et FV-NI. The bonds were priced at 1.030 to yield Blue Spruce 6%, and pay interest annually each October 1. Blue Spruce has a December 31 year end, and at this date, the bonds" fair value was $1045. Assume Blue Spruce applies IFRS. Prepare Blue Spruce's journal entry for the purchase of the investment. (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 for the amounts.) Account Titles and Explanation Debit Credit eTextbook and Media List of Accounts Prepare Blue Spruce's journal entry for the December 31 interest accrual. (Round answers to 2 decimal places, eg. 52.75. Credit account tities are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account tities and enter for the amounts.) Account Titles and Explanation Debit Credit eTextbook and Media List of Accounts Prepare Blue Spruce's journal entry for the year-end fair value adjustment. (Round answers to 2 decimal places, eg. 52.75. 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 for the amounts.) Account Titles and Explanation Debit Credit eTextbook and Media List of Accounts Assume Blue Spruce applies ASPE, uses the effective interest method and follows a policy of reporting interest income separately prepare Blue Spruce's journal entry for the December 31 interest accrual. (Round answers to 2 decimal places, e.g. 52.75. 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 for the amounts.) Account Titles and Explanation Debit Credit eTextbook and Media List of Accounts Assuming Blue Spruce applies ASPE, uses the effective interest method, and follows a policy of reporting interest income separately. prepare Blue Spruce's journal entry for the year-end fair value adjustment. (Round answers to 2 decimal places, eg. 52.75. 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 for the amounts.) Account Titles and Explanation Debit Credit
