Wildhorse Corp. carries an account in its general ledger called Investments, which contained debits for investment purchases, and no credits, with the following descriptions.

Feb. 1, 2017		Sharapova Company common stock, $120 par, 240 shares		$34,200
April 1		U.S. government bonds, 11%, due April 1, 2027, interest payable April 1 and October 1, 108 bonds of $1,000 par each		108,000
July 1		McGrath Company 12% bonds, par $49,800, dated March 1, 2017, purchased at 104 plus accrued interest, interest payable annually on March 1, due March 1, 2037		53,784

A. Prepare entries necessary to classify the amounts into proper accounts, assuming that all the securities are classified as available-for-sale.

B. Prepare the entry to record the accrued interest and the amortization of premium on December 31, 2017, using the straight-line method.

The fair values of the investments on December 31, 2017, were:

Sharapova Company common stock		$31,300
U.S. government bonds		135,700
McGrath Company bonds C.What entry, if any, would you recommend be made? Entry for Debt Entry for Equity D. The U.S. government bonds were sold on July 1, 2018, for $126,800 plus accrued interest. Give the proper entry.		62,600