Use the information from BE14-1, but assume the bonds are purchased as an available-for-sale security. Prepare Moonwalkers

Question:

Use the information from BE14-1, but assume the bonds are purchased as an available-for-sale security. Prepare Moonwalker’s journal entries for
(a) The purchase of the investment,
(b) The receipt of annual interest and discount amortization, and
(c) The year-end fair value adjustment. The bonds have a year-end fair value of $47,200.