Problem 17-3

17-3 Corp. carries an account in its general ledger called Investments, which contained debits for investment purchases, and no credits, with the following descriptions Feb. 1, 2017 Apra 1 Sharapova Company common stock, $110 par, 220 shares U.S. government bonds, 10%, due Apnl 1, 2027, interest payable April 1 and October 1, 108 bonds of $1,000 par each $36,700 108,000 uly 1 McGrath Company 12% bonds, par $54,500, dated March 1, 2017, purchased at 104 plus accrued interest, interest payable annually on March 1, due March , 2037 58,860 entries necessary to classify the amounts into proper accounts, assuming that all the securities are classified as avadable-for-sale. (Credit account titles are a no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit the entry to record the accrued interest and the amortization of premium on December 31, 2017, using the straight-line method. (Round answers to 0 decimal 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 Titles and Explanation Debit Credit Dec. 31, 2017 The fair values of the investments on December 31, 2017, were Sharapova Company common stock u.S. govenment bonds McGrath Company bonds $30,500 120,200 58,400 What entry, if any, would you recommend be made? (Round answers to 0 decimal places, e.g. 2,500. Credit No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31, 2017 Entry for debt investment) (Entry for equity investment) The U.S. government bonds were sold on July 1, 2018, for $110,700 plus accrued interest. Give the proper entry select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Jul. 1, 2018