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Question 6: Amortized Cost and FV-NI Investments in Bonds The following information relates to the debt investments ofSarasota Inc. during a recentyear:1.On February 1, the company purchased Gibbons Corp. 10% bondswith a face valueof $324,000 at 100 plus accrued interest. Interest is payable onApril 1 and October1.2. On April 1, semi-annual interest was received on the Gibbonsbonds.43.On June 15, Sampson Inc. 9% bonds were purchased. The $216,000par-valuebonds were purchased at 100 plus accrued interest. Interestdates are June 1 andDecember 1.4.On August 31, Gibbons Corp. bonds with a par value of $65,000purchased onFebruary 1 were sold at 99 plus accrued interest.5.On October 1, semi-annual interest was received on the remainingGibbons Corp.bonds.6. On December 1, semi-annual interest was received on theSampson Inc. bonds.7.On December 31, the fair values of the bonds purchased onFebruary 1 and June 15were 98.5 and 101, respectively.Assume the investments are accounted for under the recognitionand measurementrequirements of IFRS 9 Financial Instruments. Assume theinvestments are NOTadjusted for Present Value.Required:Assume instead that Sarasota manages these investments based ontheir yield tomaturity (Amortized Cost) Prepare all journal entries that youconsider necessary,including December 31 adjusting entries.