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Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below) Brooks Company purchases debt Investments as trading securities at a cost of $77000 on December 27. This is its first and only purchase of such securities. At December 31, these securities had a fair value of $83.000. Exercise 15-2 (Algo) Accounting for debt investments classified as trading LO P1 1. Prepare the December 27 entry for the purchase of debt investments 2. & 3. Prepare the December 31 year end fair value adjusting entry for the trading securities' portfolio and the January 3 entry when Brooks sells a portion of its trading securities (costing $38,500) for $40,000 cash, Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 and 3 Prepare the December 27 entry for the purchase of debt investments View transaction list Journal entry worksheet Reg 1 Req 2 and 3 Prepare the December 27 entry for the purchase of debt investments. View transaction list Journal entry worksheet 1 Record purchase of trading securities. Note: Enter debits before credits General Journal Debit Credit Date December 27 Prev 1 of 10 Hi Required information Rand Prepare the December 31 year-end fair value adjusting entry for the trading securities' portfolio and the January 3 entry when Brooks sells a portion of its trading securities (costing $38,500) for $40,000 cash. View transaction list Journal entry worksheet

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