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The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2024. The company buys debt securities, not intending to profit from short-term

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The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2024. The company buys debt securities, not intending to profit from short-term differences in price and not necessarily to hold debt securities to maturity, but to have them avallable for sale in years when circumstances warrant. Ornamental's fiscal year ends on December 31. No investments were held by Ornamental on December 31,2023. March 31 Acquired 6t 0istribution Transforeers Corporation bonds costing 5500,000 at face vatue. Septenber 1 Acquired $1,050,000 of American Instrunents' 84 bonds at face value. september 30 Recelved seniannual interest paynent on the Distribution Transformers bonds. October 2 Sold the Distribution Transformers bonds for $535,080. Novenber 1 Purchased $1,500,000 of MSD Corporation 44 bonds at face value. Decenber 31 Recorded any necessary adjusting entry(s) relating to the investinents. The narket prices of the investaents are: (Hint- Interest must be occrued) Required: 1. Prepare the appropriate journal entry for each transaction or event during 2024, as well as any adjusting entries necessary at year-end. For any sales, prepare entries to update the fair-value adjustment, record any reciassification adjustment, and record the sale. 2. Indicate any amounts that Ornamental Insulation would report in its 2024 income statement, 2024 statement of comprehensive income, and 12/31/2024 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments. Ignore income taxes. Complete this question by entering your answers in the tabs below. Prepare the appropriate journal entry for each transaction or event during 2024, as well as any adjusting entries necessary at year-end. For any soles, prepare entries to update the fair-value adjustment, record any reclassification adjustment, and record the sale. For any soles, prepare entries to update the fair-value adjustment, record any reciassification adjustrent, if no entry is required for a transaction/event, sefect "No joumal entry required" in the first occocint field. Notel

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