Entries for TS: Effective Interest Method

Note: When answering the following questions, round answers to the nearest whole dollar.

Amortization Schedule Journal Entries in Year $1,$ Journal Entries in Year $2$

d$.$ Record the receipt of interest on January $1$ of Year $2.$

e$.$ Record the sale of all of the bonds on January $2$ of Year $2$ for $$166,100.$

f$.$ Record the adjustment to the Fair Value Adjustment account on December $31$ of Year $2,$ assuming no additional TS investments.