On January $1,2024,$ Ithaca Corporation purchases Cortland Incorporated bonds that have a face value of $$340,000.$ The Cortland bonds have a stated interest rate of $5\%.$ Interest is paid semiannually on June $30$ and December $31,$ and the bonds mature in $10$ years. For bonds of similar risk and maturity, the market yield on particular dates is as follows:

January $1,20246\mathrm{.}0\%$

June $30,20247\mathrm{.}0\%$

December $31,20248\mathrm{.}0\%$

Part $3$A: Record the fair value adjustment when the market yield is $7\%.$

Part $3$B: Record the fair value adjustment when the market yield is $8\%.$