On July 1, 2018, Wolfpack Corporation purchased securities which it intends to buy and sell frequently. These securities consisted of (a) Todd Corporation 10%, 5-year bonds with a face value of $20,000 which were purchased for $18,500 and (b) 300 shares of Cornett Company common stock which were purchased at $40 per share. The investment in Cornett Company stock has a market value of $10,500 that was properly reported on Cornetts most recent balance sheet. Assume that on February 1, 2019, Wolfpack sold its investment in Cornett stock for $10,000. Required: Prepare the journal entries of Wolfpack to record the sale. Refer to the Chart of Accounts for exact wording of account titles.

Prepare the journal entries of Wolfpack to record the sale on February 1, 2019. Refer to the Chart of Accounts for exact wording of account titles.