Sandhill Company purchased, on January 1, 2025, as an available-for-sale security, $440,000 of the 6%, 5-year bonds of Oak Corporation for $380,203, which provides an 8% return. The bonds pay interest semi-annually on June 30th and December 31st. For this case, prepare an amortization table. Use the effective-interest method for discount and premium amortization (construct an amortization table). Amortize premium or discount on interest dates and at year-end. (Assume that no reversing entries were made.) Maturity Value of Bonds Purchase Price of Bonds Stated Interest Rate Bond Yield Rate Interest Payment Term (fraction of annual) Date Cash Received Interest Revenue Bond Discount Amortization Carrying Amount of Bonds 1/1/2025         6/30/2025         12/31/2025         6/30/2026         12/31/2026         6/30/2027         12/31/2027         6/30/2028         12/31/2028         6/30/2029         12/31/2029         6/30/2030         12/31/2030         6/30/2031         12/31/2031         6/30/2032         12/31/2032         6/30/2033         12/31/2033         6/30/2034         12/31/2034

On July 1, 2020, West Company purchased for cash, three $10,000 bonds of North Corporation at a market rate of 4%. The bonds pay 5% interest, payable on a semiannual basis each July 1 and January 1, and mature on July 1, 2023. The bonds are classified as trading securities. The annual reporting period ends December 31. Assume the effective interest method of amortization of any discounts or premiums. Ignore income taxes. d. Record the receipt of interest on January 1, 2021. e. Record the sale of all of the bonds on January 2, 2021, for $33,200. f. Record the adjustment to the Fair Value Adjustment account on December 31, 2021, assuming no additional TS investments. Note: List multiple debits or credits (when applicable) in alphabetical order. Note: Round each amount to the nearest whole dollar. Note: If a journal entry isn't required for the transaction, select "N/A" as the account names and leave the Dr. and Cr. answers blank (zero).

General Investment Co. (GIC) purchased bonds on January 1, 2021. GIC's accountant has projected the following amortization schedule from purchase until maturity:   Date Cash Received Interest Revenue Amortization of Discount Amortized Cost     1/1/2021                     $ 194,758     6/30/2021 $ 7,000   $ 7,790     $ 790     195,548     12/31/2021   7,000     7,822       822     196,370     6/30/2022   7,000     7,855       855     197,225     12/31/2022   7,000     7,889       889     198,114     6/30/2023   7,000     7,925       925     199,039     12/31/2023   7,000     7,961       961     200,000                                         Recording the bond purchase would have what effect on the financial statements?

Subject: acounting