Required:

1. Prepare journal entries to record the proceding information.

2. Show what is reported on hollys 2019 income statement.

3. Assuming the investment in igor company bonds is considered to be a current asset and the investment in union company bonds is considered to be a noncurrent asset, show how all the items are reported on hollys December 31,2019 balance sheet.

4. If GAAP required that unrealized holding gains and losses on available for sale securities be included in income, how much would holla recognize in 2019?

Available-for-Sale Securities Chart of Accounts Labels and Amount Descriptions General Journal Income Statement Balance Instructions Instructions Holly Company invests its excess cash in marketable securities. At the beginning of 2019, it had the following portfolio of investments in available-for-sale debt securities Par Value Amortized Cost 12/31/18 Fair Value Security Igor Company 5% bonds, maturing on Dec. 31, 2028 Ozone Company 6% bonds, maturing on Dec. 31, 2023 Totals $9,400 21,700 $31,100 SI 0,000 $8,400 23,100 $31,500 S20.000 During 2019, the following transactions occurred Purchased Union Company 8% bonds with a face value of $10,000 for S 10,000 plus accrued interest interest is payable on the bonds each June 30 and December 31. Mar. 31 Mar. 31 Sold the Ozone Company investment for $22,000 plus accrued interest June 30Received the semiannual interest on the Union Company bonds Dec 31 Received the annual interest on the lgor Company bonds and the semiannual interest on the Union Company bonds Holy uses the straight-line The December 31 closing market prices were as folows: Igor Company bonds, 90; and Union Company 8% bonds, 101 method to amortize any discounts or premiums Required: 1. Prepare journal entries to record the preceding information. 2. Show what is reported on Holy's 2019 income statement. 3 Assuming the investment in lor Company bonds is considered to be a current asset and the imvestment in Union Company bonds is considered to be a noncurrent asset, show how all the tems are reported on Holls December 31, 2019, baiance sheet 4. If GAAP required that unrealized holding gains and losses on available-for-sale securities be inoluded in income, how much would Holy recognize in 20192 Print Itenm Prepare journal entries to record the 2019 transactions Additional Instruction PAGE 1 GENERAL JOURNAL POST, RE DEDIT ACCOUNT TITLE 20 13 15 16 LBI 10 21 Check My Work r-assignments&itakeAssigr w.com/ilrn/takeAssignment/takeAssignmentMain.do?invoke eBook Calculator Print tem Available-for -Sale Securities Instructions Chart of Accounts Labels and Amount Descriptions General Jo Show what is reported on Holly's 2019 income statement. Additional Instructions Holly Company Partial Income Statement For the Year Ended December 31 2019 eBook Calculator Print Ilem Income Statement Balance Sheet Assuming the investment in igor Company bonds is considered to be a current asset and the investment in Union Company bonds is c Holy Company Partial Balance Sheet December 31, 2019 Current assets: Noncurrent Assets: Shareholders' Equity 0 (abel Income Statement Balance Sheet Shaded cels have feedback Analysis Shaded cells have feedback As If GAAP required that unrealized holding gains and losses on for-sae securties be inoluded in income, how much wouls Holy recognice in 20197 Unrealized holding gein Y K Points 1,2 Feedback 7 Check My Work tdate a company should disclose Available-for-Sale Securities Chart of Accounts Labels and Amount Descriptions General Journal Income Statement Balance Instructions Instructions Holly Company invests its excess cash in marketable securities. At the beginning of 2019, it had the following portfolio of investments in available-for-sale debt securities Par Value Amortized Cost 12/31/18 Fair Value Security Igor Company 5% bonds, maturing on Dec. 31, 2028 Ozone Company 6% bonds, maturing on Dec. 31, 2023 Totals $9,400 21,700 $31,100 SI 0,000 $8,400 23,100 $31,500 S20.000 During 2019, the following transactions occurred Purchased Union Company 8% bonds with a face value of $10,000 for S 10,000 plus accrued interest interest is payable on the bonds each June 30 and December 31. Mar. 31 Mar. 31 Sold the Ozone Company investment for $22,000 plus accrued interest June 30Received the semiannual interest on the Union Company bonds Dec 31 Received the annual interest on the lgor Company bonds and the semiannual interest on the Union Company bonds Holy uses the straight-line The December 31 closing market prices were as folows: Igor Company bonds, 90; and Union Company 8% bonds, 101 method to amortize any discounts or premiums Required: 1. Prepare journal entries to record the preceding information. 2. Show what is reported on Holy's 2019 income statement. 3 Assuming the investment in lor Company bonds is considered to be a current asset and the imvestment in Union Company bonds is considered to be a noncurrent asset, show how all the tems are reported on Holls December 31, 2019, baiance sheet 4. If GAAP required that unrealized holding gains and losses on available-for-sale securities be inoluded in income, how much would Holy recognize in 20192 Print Itenm Prepare journal entries to record the 2019 transactions Additional Instruction PAGE 1 GENERAL JOURNAL POST, RE DEDIT ACCOUNT TITLE 20 13 15 16 LBI 10 21 Check My Work r-assignments&itakeAssigr w.com/ilrn/takeAssignment/takeAssignmentMain.do?invoke eBook Calculator Print tem Available-for -Sale Securities Instructions Chart of Accounts Labels and Amount Descriptions General Jo Show what is reported on Holly's 2019 income statement. Additional Instructions Holly Company Partial Income Statement For the Year Ended December 31 2019 eBook Calculator Print Ilem Income Statement Balance Sheet Assuming the investment in igor Company bonds is considered to be a current asset and the investment in Union Company bonds is c Holy Company Partial Balance Sheet December 31, 2019 Current assets: Noncurrent Assets: Shareholders' Equity 0 (abel Income Statement Balance Sheet Shaded cels have feedback Analysis Shaded cells have feedback As If GAAP required that unrealized holding gains and losses on for-sae securties be inoluded in income, how much wouls Holy recognice in 20197 Unrealized holding gein Y K Points 1,2 Feedback 7 Check My Work tdate a company should disclose