Problem 12-6 (Algo) Various transactions related to securities available-for-sale (L012-4, 12-4) The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys debt securities, not intending to profit from short-term differences in price and not necessarily to hold debt securities to maturity, but to have them available for sale in years when circumstances warrant. Ornamental's fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020. Mar. 31 acquired 78 Distribution Transformers Corporation bonds costing 5590,000 at face value. Sep. 1 Acquired $1,185,000 of American Instruments 81 bonds at face value. Sep. 30 Received semiannual interest payment on the Distribution Transformers bonds. Oct. 2 Sold the Distribution Transformers bonds for $634,000. Nov. 1 Purchased $1,590,000 of MD Corporation 5 bonds at face value. Dec. 31 Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investsenteret $1,116,000 $1,669,000 American Instruments bonds MED Corporation bonds (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. For any sales, prepare entries to update the fair value adjustment, record any reclassification adjustment and record the sale Next > 14 of 18 !!! 9 7 6 5 4 3 2