Pharoah Company had the following transactions pertaining to debt securities held as an investment.

Jan. $1$ Purchased $75,6\%,$ $$1,000$ Sheridan Company bonds for $$75,000$ cash. Interest is payable annually on January $1.$

Dec. $31$ Accrued $$4,500$ annual interest on Sheridan Company bonds.

Journalize the purchase and the receipt of interest. Assume no interest has been accrued. $($Credit account titles are automatically

indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. List all debit entries

before credit entries. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

Date

Account Titles and Explanation

Debit

Credit

Debt Investments

Cash

Interest Receivable