On January 1, 2018, the Chaucer's Restaurant decides to invest in Lake Turner bonds. The bonds mature

Question:

On January 1, 2018, the Chaucer's Restaurant decides to invest in Lake Turner bonds. The bonds mature on December 31, 2023, and pay interest on June 30 and December 31 at 4% annually. The market rate of interest was 4% on January 1, 2018, so the $90,000 value bonds sold for face value. Chaucer's intends to hold the bonds until December 31, 2023.
Requirements
1. Journalize the transactions related to Chaucer's investment in Lake Turner bonds during 2018.
2. In what category would Chaucer's report the investment on the December 31, 2018, balance sheet?
Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...