On January 1, 2019, Hyde Corporation purchased bonds with a face value of $300,000 for $308,373 53 The bonds are due June 30, 2022, carry a 13 stated interest rate, and were purchased to yield 12 Interest is payable semiannually on June 30 and December 31 On March 31, 2020, in contemplation of a major acquisition, the company sold one half the bonds for $159,500 including accrued interest the remainder were held until maturity Required Prepare the journal entries to record the purchase of the bonds, each interest payment, the partial sale of the investment on March 31, 2020, and the retirement of the bond issue on June 30, 2022 CHART OF ACCOUNTS Hyde Corporation General Ledger ASSETS 111 Cash 121 Accounts Receivable 141 Inventory 152 Prepaid Insurance 181 Equipment 189 Accumulated Depreciation 191 Investment in Held to Maturity Debt Securities LIABILITIES 211 Accounts Payable 231 Salaries Payable 250 Unearned Revenue 261 Income Taxes Payable EQUITY 311 Common Stock 331 Retained Earnings REVENUE 411 Sales Revenue 431 Interest Income 434 Gain on Sale of Debt Securities EXPENSES 500 Cost of Goods Sold 511 Insurance Expense 512 Utilities Expense 521 Salaries Expense 532 Bad Debt Expense 540 Interest Expense 541 Depreciation Expense 559 Miscellaneous Expenses 599 Loss on Sale of Investment 910 Income Tax Expense Prepare the journal entries to record the purchase of the bonds, each interest payment, the partial sale of the investment on March 31, 2020, and the retirement of the bond issue on June 30, 2022

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On January 1, 2019, Hyde Corporation purchased bonds with a face value of $300,000 for $308,373.53. The bonds are due June 30, 2022, carry a

On January 1, 2019, Hyde Corporation purchased bonds with a face value of $300,000 for $308,373.53. The bonds are due June 30, 2022, carry a 13% stated interest rate, and were purchased to yield 12%. Interest is payable semiannually on June 30 and December 31. On March 31, 2020, in contemplation of a major acquisition, the company sold one-half the bonds for $159,500 including accrued interest; the remainder were held until maturity.

Required:

Prepare the journal entries to record the purchase of the bonds, each interest payment, the partial sale of the investment on March 31, 2020, and the retirement of the bond issue on June 30, 2022.

CHART OF ACCOUNTS

Hyde Corporation

General Ledger

	ASSETS
111	Cash
121	Accounts Receivable
141	Inventory
152	Prepaid Insurance
181	Equipment
189	Accumulated Depreciation
191	Investment in Held-to-Maturity Debt Securities

	LIABILITIES
211	Accounts Payable
231	Salaries Payable
250	Unearned Revenue
261	Income Taxes Payable

	EQUITY
311	Common Stock
331	Retained Earnings

	REVENUE
411	Sales Revenue
431	Interest Income
434	Gain on Sale of Debt Securities

	EXPENSES
500	Cost of Goods Sold
511	Insurance Expense
512	Utilities Expense
521	Salaries Expense
532	Bad Debt Expense
540	Interest Expense
541	Depreciation Expense
559	Miscellaneous Expenses
599	Loss on Sale of Investment
910	Income Tax Expense

Prepare the journal entries to record the purchase of the bonds, each interest payment, the partial sale of the investment on March 31, 2020, and the retirement of the bond issue on June 30, 2022.