Rantzow-Lear Company buys and sells debt securities expecting to earn profits on short-term differences in price, and holds these investments in its trading portfolio. The company's fiscal year ends on December 31. The following selected transactions relating to Rantzow-Lear's trading account occurred during December 2021 and the first week of 2022 2021 Dec. 17 Purchased 100 Grocers Supply Corporation bonds at par for $350,000. 28 Received interest of $2,000 from the Grocers Supply Corporation bonds 31 Recorded any necessary adjusting entry relating to the Grocers' Supply Corporation bonds. The market price of the bond was $4,000 per bond 2022 Jan. 5 sold the Grocers' Supply Corporation bonds for $395,000 Required: 1. Prepare the appropriate journal entry or entries for each transaction 2. Indicate any amounts that Rantzow-Lear Company would report in its 2021 balance sheet and income statement as a result of this investment "No joumal entry required in the first account field.) No 1 General Journal Debit Credit Date December 17, 202 Investment in bonds Cash 350,000 350,000 2 December 28, 2021 Cash Interest revenue 2,000 >> >> >> 2,000 3 December 31, 202 Fair value adjustment Gain on investments (unrealized, NI) 50,000 50,000 4 395,000 January 05, 2022 Cash Gain on investments (NI) Investment in bonds 45,000 X 350,000 5 562,500 January 05, 2022 Cash Fair value adjustment Investment in bonds 37.500 52,500 > Balance Sheet December 31, 2021 Current Assets Retained earnings Income Statement: Investment in bonds Gain on investments X $ 400,000 X $ 2.000 50,000