Bond $($held$-$to$-$maturity$)$ investments

Gillooly Co$.$ purchased $$480,000$ of $6\%,20-$year Lumpkin County bonds as a held$-$to$-$maturity investment on May $11,$ Year $1,$ directly from the county, at their face amount plus accrued interest. The bonds pay semiannual interest on April $1$ and October $1.$ On October $31,$ Year $1,$ Gillooly Co$.$ sold $$120,000$ of the Lumpkin County bonds at $99$ plus $$600$ accrued interest.

Journalize the entries to record the following:

If an amount box does not require an entry, leave it blank. When required, round your answers to the nearest dollar.

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a$.$ The purchase of the bonds on May $11$ plus $40$ days of accrued interest.

DateAccountDebitCredit

Year $1$ May $11$

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b$.$ Semiannual interest on October $1.$

DateAccountDebitCredit

Year $1$ Oct. $1$

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c$.$ Sale of the bonds on October $31.$

DateAccountDebitCredit

Year $1$ Oct. $31$

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d$.$ Adjusting entry for accrued interest on December $31,$ Year $1.$ In computing the accrued interest, use the number of days divided by $360.$

DateAccountDebitCredit

Year $1$ Dec. $31$

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e$.$ The receipt of the face value of the remaining bonds at their maturity on April $1,$ Year $20.$

DateAccountDebitCredit

Year $20$ Apr. $1$