On July $1,2023,$ Ayayai Aggregates Ltd$.$ purchased $7\%$ bonds with a maturity value of $$50,000$ for $$51,755.$ The bonds provide the

bondholders with a $6\%$ yield. The bonds mature four years later, on July $1,2027,$ with interest receivable June $30$ and December $31$ of

each year. Ayayai uses the effective interest method to allocate unamortized discount or premium. The bonds are accounted for using

the FV$-$OCI model with recycling. Ayayai has a calendar year end. The fair value of the bonds at December $31,2023$ and $2024,$ was

$$51,780$ and $$51,001,$ respectively. Assume fair value adjustments are recorded at year end only. Immediately after collecting interest

on December $31,2024,$ the bonds were sold for $$51,001.$Prepare the entries and year$-$end entries from December $31,2023,$ through to the collection of interest on December $31,2024.$

$($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No

Entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit entries. Round answers to $0$ decimal places, e$.$g$.$

$5,275.$

$($To record collection of interest$)$

$($To record fair value adjustment$)$