The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021 The company buys debt securities, intending to profit from short-term differences in price and maintaining them in an active trading portfolio Omamental's fiscal year ends on December 31. No investments were held by Omamental on December 31, 2020 Mar. Acquired ex Distribution Transformers Corporation bonds costing 5500,000 at Face value Sep. 1 Acquired $1,200, we of American Instruments 10% bonds at face value Sep. Received semiannual interest payment on the Distribution Transformers bonds Oct. 2 Sold the Distribution Transformers bonds for $575,00 Nov. 1Purchased $1,900,000 of MD Corporation 6% bonds at face value. Dec. 31 Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investrents are Anerican Instruments honde MSD Corporation bonds $1,160, 51,978,000 (Hint interest must be accrued) Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year end 2. Indicate any amounts that Ornamental insulation would report in its 2021 income statement, 2021 statement of comprehensive Income and 12/312021 balance sheet as a result of these investments. Include totals for net income, comprehensive income, and retained earnings as a result of these investments. Complete this question by entering your answers in the tabs below. Required: 1. Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year end 2. Indicate any amounts that Omamental Insulation would report in its 2021 income statement 2021 statement of comprehensive Income, and 12/31/2021 balance sheet as a result of these investments. Include totals for net income, comprehensive Income, and retained earnings as a result of these investments, Complete this question by entering your answers in the tabs below. Required Required 2 Prepare the appropriate journal entry for each transaction or event during 2091, as well as arvy adjusting entries necessary at year and (if ne entry required for transactionevent, select o jumal entry required in the first account field. View saloni Journal entry worksheet 2 3 4 5 6 7 8 9 > Record the acquisition of 84 Distribution Transformers Corporation bonds couting $500,000 at face value Required 1 Required 2 Prepare the appropriate journal entry for each transaction or event during 2021, as well as any adjusting entries necessary at year and (tre entry is required for a transaction/event, select "No journal entry required in the first account field.) View transactions Journal entry worksheet Record the acquisition of $1,200,000 of Aherican Instruments' 10% bonds at face value. Note: Enter debits before credits. General Journal Debit Credit Date September 01. 2021 Record entry Clear entry View general journal Journal entry worksheet Record the entry for the semiannual interest received on the Distribution Transformers bonds. Note: Enter debits before credits. General Journal Debit Credit Date September 30, 2021 Record entry Clear entry View general journal Journal entry worksheet
