Prepare adjusting entries and journal entries

4 On February 18, 2021, Union Corporation purchased 1,584 IBM bonds as a long-term investment at their face value for a total of $1,584,000. Union will hold the bonds indefinitely, and may sell them if their price increases sufficiently. On December 31, 2021, and December 31, 2022, the market value of the bonds was $1,540,000 and $1,606,000, respectively. 2 points Required: 2. & 3. Prepare the adjusting entry for December 31, 2021 and 2022. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.))oints References The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys debt securities, intending to prot from short-term differences in price and maintaining them in an active trading portfolio. Ornamental's scal year ends on December 31. No investments were held by Ornamental on December 31. 2020. Mar. 31 Acquired 8% Distribution Transformers Corporation bonds costing $410,000 at face value. Sep. 1 Acquired $930,000 of American Instruments' 10% bonds at face value. Sep. 30 Received semiannual interest payment on the Distribution Transformers bonds. Oct. 2 Sold the Distribution Transformers bonds for $440,000. Nov. 1 Purchased $1,450,000 of H&D Corporation 6% bonds at face value. Dec. 31 Recorded any necessary adjusting entryls) relating to the investments. The market prices of the investments are American Instruments bonds $ 881,000 nan Corporation bonds $1,511,000 (Hint: Interest must be accrued.) Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year end. 2. Indicate any amounts that Ornamental Insulation would report in its 2021 income statement, 2021 statement of comprehensive income. and 12/31/2021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments