Part A On January 1, 2022, Irwin Co. purchased $400,000, 9% bonds of Sloan Company for...

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Part A On January 1, 2022, Irwin Co. purchased $400,000, 9% bonds of Sloan Company for $ 355,839. The bonds were purchased to yield 12% interest. Interest is payable semiannually on July 1 and January 1. The bonds mature on January 1, 2027. Irwin Co. plans to hold the bonds to collect contractual cash flows. On January 1, 2024, Irwin Co. sold the bonds for $378,141 after receiving interest to meet its liquidity needs. Required 1. Prepare the journal entry to record the purchase of bonds on January 1, 2022. (2 marks) 2. Prepare the amortization schedule for the bonds till December 31 2023. (4 marks) 3. Prepare the journal entries to record the semiannual interest on July 1, 2022, and December 31, 2022. (3 marks) 4. 5. Prepare the journal entry to record the sale of the bonds on January 1, 2024. (1.5 marks) Assume that Irwin elected the fair value option for this investment. If the fair value of Sloan bonds is $375,360 on December 31, 2022, prepare the necessary adjusting entry. (1.5 marks) Part A On January 1, 2022, Irwin Co. purchased $400,000, 9% bonds of Sloan Company for $ 355,839. The bonds were purchased to yield 12% interest. Interest is payable semiannually on July 1 and January 1. The bonds mature on January 1, 2027. Irwin Co. plans to hold the bonds to collect contractual cash flows. On January 1, 2024, Irwin Co. sold the bonds for $378,141 after receiving interest to meet its liquidity needs. Required 1. Prepare the journal entry to record the purchase of bonds on January 1, 2022. (2 marks) 2. Prepare the amortization schedule for the bonds till December 31 2023. (4 marks) 3. Prepare the journal entries to record the semiannual interest on July 1, 2022, and December 31, 2022. (3 marks) 4. 5. Prepare the journal entry to record the sale of the bonds on January 1, 2024. (1.5 marks) Assume that Irwin elected the fair value option for this investment. If the fair value of Sloan bonds is $375,360 on December 31, 2022, prepare the necessary adjusting entry. (1.5 marks)