The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2024. 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 Ornamental on December 31, 2023. Narch 31 Acquired 8x Distribution Transforsers corporation bonds costing $500, 000 at face value. Septenber. 1 Acquired $1,200, 000 of Anerican Instruments' 10 bonds at face value. Septenber 30 Recelved semiannual interest paynent on the Distribution Transformers bonds. October 2 sold the Distribution Transformers bonds for $575,600. Novenber 1 Purchased $1,900,000 of MBD Corporation 6x bonds at face value. Decenber 31 Recorded any necessary adjusting entry (s) relating to the investnents. The market prices of the investanents are Aeerican Instruments bonds $1,160,000 kso Corporation bonds \$ 1,970,000 (Hint Interest must be accrued) Required: 1. Prepare the appropriate joumal entry for each transaction or event during 2024, as well as any adjusting entries necessary at year end. 2. Indicate any amounts that Omamental 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 eamings as a result of these investments, Ignore income taxes. Complete this question by entering your answers in the tabs below. Indicate any amounts that Omamental 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 eamings as a result of these investments. Ignore income taxes. Prepare the appropriate journal entry for each transaction or event during 2024, as well as any adjusting entries necessary at year end. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet Record the acquisition of 8% Distribution Transformers Corporation bonds costing $500,000 at face value. Note: Enter debts before credits. 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
