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Metlock Corp. carries an account in its general ledger called Investments, which contained debits for...

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Accounting

Metlock Corp. carries an account in its general ledger called Investments, which contained debits for investment purchases, and no credits, with the following descriptions.
Feb. 1,2025 Sharapova Company common stock, $120 par, 240 shares
$40,800
April 1 U.S. government bonds, 12%, due April 1,2035, interest payable April 1 and October 1,96 bonds of $1,000 par each
96,000
July 1 McGrath Company 12% bonds, par $50,100, dated March 1,2025, purchased at 104 plus accrued interest, interest payable annually on March 1, due March 1,2045
54,108
Prepare the entry to record the accrued interest and the amortization of premium on December 31,2025, using the straight-line method. (List all debit entries before credit entries. Credit account titles are automatically indented when 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. Round answers to 0 decimal places, e.8.1,225.)
Date Account Titles and Explanation
Debit
Credit
Dec. '
31,
Interest Receivable
2025
Debt Investments
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