Accounting question regarding investments?

Accounting question regarding investments?
During fiscal 2006 Markham Ltd. purchased two investments. On February 19 it purchased a five-year bond from a private company. Markham invested in the bond because it wanted to set aside funds to meet an obligation that is due in five years. The company intends to hold on to the bond until it matures in February 2011. Markham paid $1,000,000 for the bond and it will receive that amount when it matures. The coupon rate on the bond is 7% and interest is payable on February 19 of each year. On December 31, 2006 (Markham?s year end) management estimated that the market value of the bond is $1,050,000 (the change is due to a change in interest rates in the economy. a)Prepare the journal entries required to record the purchase of the investments. b)Record all journal entries required on December 31, 2006 to properly account for the investments. Clearly explain all of your entries. c)Show how the investments would be reported in the December 31, 2006 income statement and balance shee