Only need B and C

On January 1, 2025, Kingbird Company purchased $430,000,10% bonds of Aguirre Co, for $398,350. The bonds were purchased to yield 12% interest. Interest is payable semiannually on July 1 and January 1 . The bonds mature on January 1, 2030. Kingbird Company uses the effective-interest method to amortize discount or premium. On January 1,2027, Kingbird Company sold the bonds for $400,077 after receiving interest to meet its liquidity needs. (c) Prepare the journal entries to record the semiannual interest on July 1, 2025, and December 31, 2025. (d) If the fair value of Aguirre bonds is $402,077 on December 31, 2026, prepare the necessary adjusting entry. (Assume the fair value adjustment balance on December 31,2025 , is a debit of $3,226.) (e) Prepare the journal entry to record the sale of the bonds on January 1, 2027. 2025 V Interest Receivable Debt Investments 2545.06 Interest Revenue 24045.06 .026 Unrealized Holding Gain or Loss - Equity Fair Value Adjustment 027 Cash Loss on Sale of Investments Debt Investments