Tsunami Sushi purchases $160,000 of 5-year, 8% bonds from Deep Sea Explorers on January 1. Management intends to hold the debt securities to maturity. For bonds of similar risk and maturity, the market rate is 9%. Tsunami paid $153,670 for the bonds. It receives interest semiannually on June 30 and December 31 . Due to changing market conditions, the fair value of the bonds at December 31 is $153,000. Required: 1., 2. \& 3. Record the necessary entries regarding the bonds. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar amount.) Tsunami Sushi purchases $160,000 of 5-year, 8% bonds from Deep Sea Explorers on January 1. Management intends to hold the debt securities to maturity. For bonds of similar risk and maturity, the market rate is 9%. Tsunami paid $153,670 for the bonds. It receives interest semiannually on June 30 and December 31 . Due to changing market conditions, the fair value of the bonds at December 31 is $153,000. Required: 1., 2. \& 3. Record the necessary entries regarding the bonds. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar amount.) Tsunami Sushi purchases $160,000 of 5 -year, 8% bonds from Deep Sea Explorers on January 1. Management intends to hold the debt securities to maturity. For bonds of similar risk and maturity, the market rate is 9%. Tsunami paid $153,670 for the bonds. It receives interest semiannually on June 30 and December 31 . Due to changing market conditions, the fair value of the bonds at December 31 is $153,000. Required: 1., 2. \& 3. Record the necessary entries regarding the bonds. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar amount.) Journal entry worksheet Record the receipt of second semiannual interest payment. Note: Enter debits before credits. 4. At what amount will Tsunami Sushi report its investment in the December 31 balance sheet? (Round your answer to the nearest whole dollar amount.) 5. Suppose Tsunami Sushi decides on December 31 that it no longer intends to hold the debt securities until maturity and will likely sell them early next year. Record any necessary fair value adjusting. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar amount.) Journal entry worksheet Record adjusting entry of investments to fair value. Note: Enter debits before credits
