The following information relates to the debt investments of Pina Colada Inc. during a recent year:

1. On February 1, the company purchased Gibbons Corp. 10% bonds with a face value of $306,000 at 100 plus accrued interest. Interest is payable on April 1 and October 1. 2. On April 1, semi-annual interest was received on the Gibbons bonds. 3. On June 15, Sampson Inc. 9% bonds were purchased. The $204,000 par-value bonds were purchased at 100 plus accrued interest. Interest dates are June 1 and December 1. 4. On August 31, Gibbons bonds with a par value of $61,200 purchased on February 1 were sold at 99 plus accrued interest. 5. On October 1, semi-annual interest was received on the remaining Gibbons bonds. 6. On December 1, semi-annual interest was received on the Sampson bonds. 7. On December 31, the fair values of the bonds purchased on February 1 and June 15 were 98.5 and 101, respectively.

Assume the investments are accounted for under the recognition and measurement requirements of IFS 9 Financial Instruments. The company does not record interest income separately from other investment income or loss when investments are accounted for at FV- Prepare all journal entries that you consider necessary, including December 31 year-end entries, assuming these investments are accounted for at FV-NI.