During January, the second month of operations, the following transactions were completed by ABC Corporation:

Jan $1$ ABC Corporation issues a $$1,000,000,6\%,$ five$-$year bond that pays semiannual interest of $$30,000($$$1,000,000\backslash$times $6\%\backslash$times $(1)/(2)),$ receiving cash of $$936,420.$ Journalize the entry to record the issuance of the bonds.

Jan $1$ ABC Corporation purchased $$800,000$ of Ridge County, $7\mathrm{.}5\%$ bonds at their face amount. The bonds pay interest monthly on the last day of the month.

Jan $3$ ABC sold $$60,000$ of merchandise on account to Best Company, $2/10,$ n$/30,$ FOB shipping point. The cost of merchandise sold was $$20,000.$ ABC uses the net method to account for sales.

Jan $6$ Purchased merchandise inventory from Grace Company for $$105,000,$ terms n$/$eom$,$ FOB destination.

Jan $8$ Paid adverting costs of $$2,000$ to promote new business.

Jan $10$ ABC Corporation purchased a delivery truck by issuing a $30-$day, $6\%$ note with a face amount of $$60,000.$

Jan $13$ ABC receives payment from Best Company within the discount period.

Jan $16$ ABC sold $$55,000$ of merchandise on account to Great Company, n$/$eom$,$ FOB shipping point. The cost of merchandise sold was $$15,000.$ ABC uses the net method to account for sales.

Jan $20$ Paid $$1200$ for utilities.

Jan $25$ ABC's Board of Directors declared a $$42,000$ cash dividend.

Jan $27$ Sold $100$ shares of treasury stock for $$18$ per share.

Jan $30$ ABC Corporation received $$50,000$ on the Jan $16$ sale. The remaining $$5,000$ was written off.

Jan $31$ For the month ended January $31,$ Ridge County paid interest on bonds

Jan $31$ The amount of cash in the the petty cash fund is $$13.$ Issued a check to replenish the fund to its original $$100$ based on the following petty cash receipts: Office Supplies $$32$ and Misc items, $$55.$

At the end of January, the following adjustment data were assembled.

a After a physical count of inventory, it was determined that $$238,700$ of inventory exists at January $31.$

b Based on an analysis of A$/$R$,$ ABC Company anticipates $3\%$ of A$/$R to be uncollectible.

c Buildings were purchased on Dec $1$ of the prior year and are depreciated using the straight line method with no salvage value for $30$ years. Round to the nearest dollar. ABC Corporation uses the mid$-$month convention for to calculate depreciation on all fixed assets $($round to the nearest month$).$

d Store Fixtures were purchased on Dec $1$ of the prior year and are depreciated using the straight$-$line method with no salvage value for $5$ years. Round to the nearest dollar. ABC Corporation uses the mid$-$month convention for to calculate depreciation on all fixed assets $($round to the nearest month$).$

e Delivery Truck is depreciated using the straight$-$line method with no salvage value. The estimated life of the truck is $6$ years. Round to the nearest dollar. ABC Corporation uses the mid$-$month convention for to calculate depreciation on all fixed assets $($round to the nearest month$).$

f Amortize the discount on bond payable using the straight$-$line method.

g Journalize accrued interest on note payable at the end of January.

h Counted office supplies and supplies on hand is $$350.$

Directions:

$1$ Journalize the routine transactions above on the Journal$-$January tab.