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Jenek Corporation had the following transactions pertaining to debt investments. Jan. 1 Purchased 50 9%, $1,000 Leeds Co. bonds for $50,000 cash. Interest is payable
Jenek Corporation had the following transactions pertaining to debt investments.
| Jan. 1 | Purchased 50 9%, $1,000 Leeds Co. bonds for $50,000 cash. Interest is payable semiannually on July 1 and January 1. | |
| 1-Jul | Received semiannual interest on Leeds Co. bonds. | |
| 1-Jul | Sold 30 Leeds Co. bonds for $33,000. | |
A. Journalize the transactions.
B. Prepare the adjusting entry for the accrual of interest at December 31.
| Date | Account Titles | Debit | Credit | |||
| (a) | ||||||
| Jan 1 | ||||||
| July 1 | ||||||
| 1 | ||||||
| (b) | ||||||
| Dec 31 | ||||||
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Authors: Kimberly Don Ketron
1505911184, 978-1505911183
