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Problem 17-3 Culver 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, $100 par, 200 shares April 1 July 1 $41,100 U.S. government bonds, 11%, due April 1, 2027, interest payable April 1 and October 1, 120 bonds of $1,000 par each 120,000 McGrath Company 12% bonds, par $46,300, dated March 1, 2017, purchased at 104 plus accrued interest, interest payable annually on March 1, due March 1, 2037 50,004 Your answer is correct. Prepare entries necessary to classify the amounts into proper accounts, assuming that all the securities are classified as available-for-sale. (Credit account titles are automatically indente select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debt Investments Debit Credit 168152 Equity Investments 41,100 Interest Revenue 1852 Your answer is partially correct. Try again Prepare the entry to record the accrued interest and the amortization of premium on December 31, 2017, using the straight-line method. (Round answers to 0 decimal Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31, 2017 Interest Receivable 8230 Interest Revenue 8183 Debt Investments 47 URCES The fair values of the investments on December 31, 2017, were: ork Sharapova Company common stock $29,500 136,400 64,200 U.S. government bonds McGrath Company bonds What entry, if any, would you recommend be made? (Round answers to 0 decimal places, e.g. 2,500. Credit account titles are automatically indente Study account titles and enter O for the amounts.) Debit Date Account Titles and Explanation Credit Dec. 31, 2017 Fair Value Adjustment 11600 Unrealized Holding Gain or Loss-Equity (Entry for debt investment) Unrealized Holding Gain or Loss-Equity 11600 32495 Fair Value Adjustment 32495 Entry for equity investment) Your answer is partially correct. Try again. The U.S. government bonds were sold on July 1, 2018, for $128,900 plus accrued interest. Give the proper entry. (Credit acco the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Date Jul. 1, 2018 Cash 139000 Debt Investments 16000 3000 Interest Revenue Gain on Sale of Investments 120,000 Click if you would like to Show Work for this question: Open Show Work

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