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Gillooly Co. purchased $162,000 of 4%,20-year Lumpkin County bonds on May 11, Year 1, directly from the county, at their face amount plus accrued interest.
Gillooly Co. purchased $162,000 of 4%,20-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 99 plus $100 accrued interest less a $110 brokerage commission. Required: Journalize the entries to record the following: a. The purchase of the bonds on May 11 plus 40 days of accrued interest. b. Semiannual interest on October 1." c. Sale of the bonds on October 31 . d. Adjusting entry for accrued interest on December 31 , Year 1." e. The receipt of the face value of the remaining bonds at their maturity on April 1, Year 20." "Refer to the chart of accounts for the exact wording of the account titles. CNOW Journals do not use lines for fournal explanatlons. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit ontry when a credit amount is entered. Assume a 360-day year. Do not round your Intermedlate calculations and round final answers to the nearest dollar. Journal (x) PAGE 10 JOURNAL 1 2 4 5 6 7 8 9 10 1 DESCRIPTION POST. REF. DEBIT CREDIT Year 20: pace 10 JOURNAL DATE DESCRIPTION POST. REF. DEBIT CREDIT Check My Work All work savod
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