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Entries for bond (held-to-maturity) investments Gillooly Co. purchased $63,000 of 6%,10-year Lumpkin County bonds on May 11, Year 1, directly from the county, at their

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Entries for bond (held-to-maturity) investments Gillooly Co. purchased $63,000 of 6%,10-year Lumpkin County bonds 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 $30,000 of the Lumpkin County bonds at 102 plus $150 accrued interest less a $665 brokerage commission. Journalize the entries to record the following: Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Assume a 360-day year. b. Semiannual interest on October 1 . d. Adjusting entry for accrued interest on December 31 , Year 1 . Year 1 Dec. 31 e. The receipt of the face value of the remaining bonds at their maturity on April 1, Year 20 . Entries for bond (held-to-maturity) investments The following bond investment transactions were completed by Starks Company: Jan. 31 Purchased 42,$1,000 government bonds at 100 plus accrued interest of $210 ( 1 month). The bonds pay 6% annual interest on July 1 and January 1. July 1 Recelved semiannual interest on bond investment. Aug. 30 Sold 18,$1,000 bonds at 96 plus $180 accrued interest ( 2 months). a. Journalize the entries for these transactions. Assume a 360-day year. Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. b. Journalize the December 31 adjusting entry for semiannual interest earned on the bonds. Assume a 360 -day year. Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Dec. 31 c. Journalize the recelpt of $24,000 at the bonds' maturity on July 1. If an amount box does not require an entry, leave it blank. July. 1

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