On January $1,2024,$ Morrison Inc., a public company, purchased $$600,000$ of Pearl Corporation$$s five$-$year, $4\%$ bonds for $$627,660$ when the market interest rate was $3\%.$ Interest is received semi$-$annually on July $1$ and January $1.$ Morrison$$s year end is December $31.$ Morrison intends to hold Pearl$$s bonds until January $1,2029,$ the date the bonds mature. The bonds$$ fair value on December $31,2024,$ was $$620,000.$

Instructions

Record the purchase of the bonds on January $1,2024.$

Prepare the entry to record the receipt of interest on July $1,2024.$

Prepare the adjusting entry required at December $31,2024.$

Show the financial presentation of the bonds for Morrison on December $31,2024.$

Prepare the entry to record the receipt of interest on January $1,2025.$

Prepare the entry to record the receipt on maturity of the bonds on January $1,2029.$ Assume the entry to record the last interest payment has been recorded.