the pan company owns 100% of the outstanding commong stock of the Sud company, Sud issue $200,000 of face value, 9%, 10-yr bonds on jan 1, 2010 for $220,000. The premium is being amortized on a straight- line bassis. On Jan 1, 2015, Pan purchased all of the bonds as an investment for $160,000.

A) prepare general journal entries on Jan 1, 2015 and Dec 31, 2015 on the books of Pan to account for the purchase of the bonds.

B) prepare in general journal form, the elimination entries related to the bonds on the December 31, 2015. Consolidate statements work-paper