Question
SheridanCarecenters Inc. provides financing and capital to the healthcare industry, with a particular focus on nursing homes for the elderly. The following selected transactions relate
SheridanCarecenters Inc. provides financing and capital to the healthcare industry, with a particular focus on nursing homes for the elderly. The following selected transactions relate to bonds acquired as an investment bySheridan, whose fiscal year ends on December 31.
2020Jan. 1Purchased at face value $2,448,500of Javier Nursing Centers, Inc.,10-year,10% bonds dated January 1, 2017, directly from Javier.Dec. 31Accrual of interest at year-end on the Javier bonds.
(Assume that all intervening transactions and adjustments have been properly recorded and that the number of bonds owned has not changed from December 31, 2020, to December 31, 2022.)
2023Jan. 1Received the annual interest on the Javier bonds.Jan. 1Sold $1,224,250Javier bonds at106.Dec. 31Accrual of interest at year-end on the Javier bonds.
how would you journalize this
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