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I need help with Part C!!! Pharoah Corporation had the following transactions in 2020 and 2021 pertaining to debt investments. 1. Purchased 609%,$1,000 Wolfe Co.
I need help with Part C!!!
Pharoah Corporation had the following transactions in 2020 and 2021 pertaining to debt investments. 1. Purchased 609%,$1,000 Wolfe Co. bonds for $61,500 cash on January 1,2020 . Interest is payable annually on January 1. 2. Accrued interest on Wolfe Co. bonds on December 31, 2020 . 3. Received interest on Wolfe Co. bonds on January 1, 2021. 4. Sold 35 Wolfe Co. bonds for $38,675 on January 1,2021. (a) Your answer is partially correct. Journalize the transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.) (b) Your answer is correct. Prepare the adjusting entry for the accrual of interest at December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.) (c) - Your answer is partially correct. Indicate how interest receivable and interest revenue is reported in the 2021 financial statements, including the amountsStep by Step Solution
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