$8$ Your answer is partially correct.

On January $1,2025,$ Pharoah issued $$870,000$ of $9\%$ serial bonds at par. Semiannual interest is payable on January $1$ and July $1$ and principal of $$87,000$ matures each January $1$ starting in $2026.$ The debt will be serviced through a special tax levy designed especially for this purpose. Therefore, transfers will be provided as needed from the Special Revenue Fund.

The following transactions occurred relating to the Debt Service Fund.

$2025$

June $29$ A transfer of $$39,150$ was received from the $pecial Revenue Fund.

July $1$ The semiannualinterest payment was made.

Dec. $18$ A Special Revenue Fund transfer of $$21,000$ was received.

$2026$

Jan. $1$ A payment on bond principal and semiannual interest was made.

$2035$

Jan. $2$ Accumulations in the Debt Service Fund amounted to $$58,000$ in investments and $$37,000$ in cash. The investments Were liquidated at face value and the final interest and principal payment was made.

Jan. $4$ Having served its purpose, the Debt Service Fund's remaining assets were transferred to the Special Revenue Fund.

Prepare the journal entries necessary to record the foregoing transactions. $($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. Listall debit entries before creditentries.$)$

Date Account Titles and Explanation

Debit

Credit