*Problem 17-2 On January 1, 2017, Wildhorse Company purchased S480,000, 10% bonds of Aguirre Co. for $444,669. The bonds were purchased to yield 12% interest. Interest is payable semiannually on July 1 and January 1. The bonds mature on January 1, 2022. Wildharse Company uses the effective-interest method to amartize discount or premium. On January 1, 2019, Wildhorse Company sold the bonds for $446,262 alter receiving interest to meet its liquidity needs Prepare the journal entry to record the purchase of bonds on January 1. Assume that the bonds are classified as avallable-for-sale. (Credit account titles are automatically Indented when amount is entered. Do not Indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Tides and Explanation Debit Credit an. 1, 2017 Prepare the amortization schedule for the bonds. (Round answers to 0 decimal places, e.g. 1,250.) Schedule of Interest Revenue and Bond DIscount Amortizatlon -Effective-Interest Method Bonds Purchased to Yield Carrying Interest Receivable Bond Or Cash Recelved Interest Discount Amount of Date Revenue Amortization Bonds 1/1/20 7/1/20 1/1/21 7/1/21 1/1/22 Total (c) Prepare the joumal entries to record the semiannual interest on (1) July 1, 2017, and (2) December 31, 2017 (d) If the fair value of Aguirre bonds is $448,262 on December 31, 2018, prepare the necessary adjusting entry. (Assume the fair value adjustment balance on January 1, 2017, is a debit of $3,467. (e) Prepare the joumal entry to record the sale of the bonds on lanuary 1, 2019 (Round answers to 0 decimal places, e.g. 2,500. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry titles and enter 0 for the amounts.) for the account Debit No. Date Account Titles and Explanation Credit (c (1) July 1, 2017 (2) Dec. 31, 2017 (d) Dec. 31, 2018 (e) Jan. 1, 2019