Albright Company purchased as a long term investment $500,000 of Benton Corporation 10 year, 9 bonds Required Present entries to record the following selected transactions Refer to the Chart of Accounts for exact wording of account titles March 1 Purchased bonds at their face amount for $500,000 May 1 Sold half the bonds at 98 plus accrued interest of $3,750 The broker deducted $200 for brokerage fees and taxes, remitting the balance (6 JOURNAL BOXES TO FILL) CHART OF ACCOUNTS Albright Company General Ledger ASSETS 110 Cash 120 Accounts Receivable 121 Allowance for Doubtful Accounts 131 Notes Receivable 132 Interest Receivable 141 Merchandise Inventory 151 Supplies 152 Prepaid Insurance 161 Investments Benton Corporation Bonds 165 Valuation Allowance for Trading Investments 166 Valuation Allowance for Available for Sale Investments 181 Land 191 Equipment 192 Accumulated Depreciation Equipment LIABILITIES 210 Accounts Payable 221 Notes Payable 231 Interest Payable 241 Salaries Payable EQUITY 311 Common Stock 312 Paid In Capital in Excess of Par Common Stock 321 Preferred Stock 322 Paid In Capital in Excess of Par Preferred Stock 331 Treasury Stock 332 Paid In Capital from Sale of Treasury Stock 340 Retained Earnings 351 Cash Dividends 352 Unrealized Gain (Loss) on Available for Sale Investments 353 Stock Dividends 390 Income Summary REVENUE 410 Sales 611 Interest Revenue 612 Dividend Revenue 631 Gain on Sale of Investments 641 Unrealized Gain on Trading Investments

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Albright Company purchased as a long-term investment $500,000 of Benton Corporation 10-year, 9% bonds. Required: Present entries to record the following selected transactions: Refer to

Albright Company purchased as a long-term investment $500,000 of Benton Corporation 10-year, 9% bonds. Required: Present entries to record the following selected transactions: Refer to the Chart of Accounts for exact wording of account titles.

March 1 Purchased bonds at their face amount for $500,000.

May 1 Sold half the bonds at 98 plus accrued interest of $3,750. The broker deducted $200 for brokerage fees and taxes, remitting the balance.

(6 JOURNAL BOXES TO FILL)

CHART OF ACCOUNTS

Albright Company

General Ledger

	ASSETS
110	Cash
120	Accounts Receivable
121	Allowance for Doubtful Accounts
131	Notes Receivable
132	Interest Receivable
141	Merchandise Inventory
151	Supplies
152	Prepaid Insurance
161	Investments-Benton Corporation Bonds
165	Valuation Allowance for Trading Investments
166	Valuation Allowance for Available-for-Sale Investments
181	Land
191	Equipment
192	Accumulated Depreciation-Equipment

	LIABILITIES
210	Accounts Payable
221	Notes Payable
231	Interest Payable
241	Salaries Payable

	EQUITY
311	Common Stock
312	Paid-In Capital in Excess of Par-Common Stock
321	Preferred Stock
322	Paid-In Capital in Excess of Par-Preferred Stock
331	Treasury Stock
332	Paid-In Capital from Sale of Treasury Stock
340	Retained Earnings
351	Cash Dividends
352	Unrealized Gain (Loss) on Available-for-Sale Investments
353	Stock Dividends
390	Income Summary