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Required information [The following information applies to the questions displayed below.) Mead Inc. began operations in Year 1, following is a series of transactions and

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Required information [The following information applies to the questions displayed below.) Mead Inc. began operations in Year 1, following is a series of transactions and events involving its long-term debt Investments in available for sale securities. Year 1 Jan. 20 Purchased Johnson & Johnson bonds for $20,500. Feb. 9 Purchased notes of Sony for $55,440. June 12 Purchased bonds of Mattel for $40,500. Dec. 31 Fair values for debt in the portfolio are Johnson & Johnson, $21,500; Sony, $52,500; and Mattel, $46,350. Year 2 Apr. 15 Sold all of the bonds of Johnson & Johnson for $23,500. July 5 Sold all of the bonds of Mattel for $35,850. July 22 Purchased notes of Sara Lee for $13,500. Aug. 19 Purchased bonds of Kodak for $15,300. Dec. 31 Fair values for debt in the portfolio are Kodak, $17,325; Sara Lee, $12,000; and Sony, $60,000. Year 3 Feb. 27 Purchased bonds of Microsoft for $160,800. June 21 Sold all of the notes of ny for $57,680. June 30 Purchased bonds of Black & Decker for $50,400. Aug. 3 Sold all of the notes of Sara Lee for $9,750. Nov. 1 Sold all of the bonds of Kodak for $20,475. Dec. 31 Fair values for debt in the portfolio are Black & Decker, $54,600, and Microsoft, $158,600. Required: 1. Prepare journal entries to record these transactions and the year-end fair value adjustments to the portfolio of long-term available- for-sale debt securities. Complete this question by entering your answers in the tabs below. Voar 1 Vase Vaar 3 -S BA Dort View transaction list Print Journal entry worksheet Year 1 Year 2 Year 3 Prepare journal entries to record these transactions and the year-end fair value adjustments to the portfolio of long-term avail sale debt securities View transaction list Journal entry worksheet 2 3 4 5 1 Sold all of the bonds of Johnson & Johnson for $23,500. Note: Enter debits before credits. Date Debit Credit Apr 15 General Journal Cash Gain on sale of debt investments 23,500 23,500 Record entry Clear entry View general journal Year 1 Year 2 Year 3 Part 1 of 3 Prepare journal entries to record these transactions and the year-end fair value adjustments to the portfolio of long-term sale debt securities. View transaction list Print Journal entry worksheet 2 3 5 Sold all of the bonds of Mattel for $35,850. Note: Enter debits before credits. General Journal Debit Date Jul 05 Credit Record entry Clear entry View general journal Mc Grow Hill Year 1 Year 2 Year 3 Part 1 of 3 Prepare journal entries to record these transactions and the year-end fair value adjustments to the portfolio of long-ter sale debt securities. View transaction list Print Journal entry worksheet 2 3 4 5 Purchased notes of Sara Lee for $13,500. Note: Enter debits before credits. General Journal Dobit Credit Date Jul 22 Record entry Clear entry View general Journal Graw Hall Year 1 Year 2 Year 3 Part 1 of 3 Prepare journal entries to record these transactions and the year-end fair value adjustments to the portfolio of long-term available sale debt securities. View transaction list Print Journal entry worksheet 1 2 3 4 5 6 Purchased bonds of Microsoft for $160,800. Note: Enter debits before credits General Journal Debit Credit Date Feb 27 Record entry Clear entry View general journal MC Graw HAL Par3 Part 1 of 3 Prepare journal entries to record these transactions and the year-end fair value adjustments to the portfolio of long-term a- sale debt securities. View transaction list Print Journal entry worksheet 2 3 4 5 6 Sold all of the bonds of Kodak for $20,475. Note: Enter debits before credits General Journal Debit Date Nov 01 Credit Record entry Clear entry View general Journal PAS Graw Hill

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