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Rantzow$-$Lear Company buys and sells debt securities expecting to earn profits on short$-$term differences in price, and holds these

investments in its trading portfolio. The company's fiscal year ends on December $31.$ The following selected transactions relating to

Rantzow$-$Lear's trading account occurred during December $2024$ and the first week of $2025.$

Decenber $17,2024$ Purchased $145$ Grocers' Supply Corporation bonds at par for $$652,500.$

Decenber $28,2024$ Received interest of $$3,800$ fron the Grocers' Supply Corporation bonds.

December $31,2024$ Recorded any necessary adjusting entry relating to the Grocers' Supply Corporation bonds. The market price of

the bond was $$5,600$ per bond.

January $5,2025$ Sold the Grocers' Supply Corporation bonds for $$688,750.$

Required:

Prepare the appropriate journal entry or entries for each transaction.

Indicate any amounts that Rantzow$-$Lear Company would report in its $2024$ balance sheet and income statement as a result of

this investment. Ignore income taxes.

Answer is complete but not entirely correct.

Complete this question by entering your answers in the tabs below.

Indicate any amounts that Rantzow$-$Lear Company would report in its $2024$ balance sheet and income statement as a result of

this investment. Ignore income taxes.

How do I solve the red$/$wrong part? Please show work, thanks!

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