FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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On February 18, 2021, Union Corporation purchased 1,056 IBM bonds as a long-term investment at their face value for a total of $1,056,000. Union will hold the bonds indefinitely, and may sell them if their price increases sufficiently. On December 31, 2021, and December 31, 2022, the market value of the bonds was $1,024,000 and $1,072,000, respectively.

 
Required:
2. & 3. Prepare the adjusting entry for December 31, 2021 and 2022. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

 

Record the adjusting entry for December 31, 2021.

Record the adjusting entry for December 31, 2022.

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