Gilooly Co. pur ased $78,0 year Lumpkin County bonds on May 11, ounty, at thel plus accrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Gillooly Co. sold $30,000 of the Lumpkin County bonds at 101 plus $175 accrued interest less a $335 brokerage commission. Journalize the entries to record the following: Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Assume a 360-day year. a. The purchase of the bonds on May 11 plus 40 days of accrued interest. Year 1 May 11 Investments-Lumpkin County Bondsv 78,000 Interest Receivable v 78,152 X Cash v 78,152 X Feedback b. Semiannual interest on October 1. Year 1 Oct. 1 Cash v 2,730 V Interest Receivable v 152 X Interest Revenue v 2,578 X Feedback c. Sale of the bonds on October 31.

Gilooly Co. pur ased $78,0 year Lumpkin County bonds on May 11, ounty, at thel plus accrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Gillooly Co. sold $30,000 of the Lumpkin County bonds at 101 plus $175 accrued interest less a $335 brokerage commission. Journalize the entries to record the following: Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Assume a 360-day year. a. The purchase of the bonds on May 11 plus 40 days of accrued interest. Year 1 May 11 Investments-Lumpkin County Bondsv 78,000 Interest Receivable v 78,152 X Cash v 78,152 X Feedback b. Semiannual interest on October 1. Year 1 Oct. 1 Cash v 2,730 V Interest Receivable v 152 X Interest Revenue v 2,578 X Feedback c. Sale of the bonds on October 31.

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter15: Investments And Fair Value Accounting

Section: Chapter Questions

Problem 5E

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Gillooly Co. purchased $81,000 of 5%, 15-year Lumpkin County bonds on May 11, Year 1, directly from the county, at their face amount plus accrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Gillooly Co. sold $30,000 of the Lumpkin County bonds at 102 plus $125 accrued interest less a $670 brokerage commission. Journalize the entries to record the following: Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Assume a 360-day year. a. The purchase of the bonds on May 11 plus 40 days of accrued interest. Year 1 May 11 - Select - - Select - - Select - - Select - - Select - - Select - b. Semiannual interest on October 1. Year 1 Oct. 1 - Select - - Select - - Select - - Select - - Select - - Select - c. Sale of the bonds on October 31. Year 1 Oct. 31 - Select - - Select -…
Gillooly Co. purchased $360,000 of 6%, 20-year Lumpkin County bonds on May 11, Year 1, directly from the county, at their face amount plus accrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Gillooly Co. sold $90,000 of the Lumpkin County bonds at 98 plus $450 accrued interest less a $200 brokerage commission. Journalize the entries to record the following: Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Assume a 360-day year. a. The purchase of the bonds on May 11 plus 40 days of accrued interest. b. Semiannual interest on October 1. c. Sale of the bonds on October 31. d. Adjusting entry for accrued interest on December 31, Year 1. e. The receipt of the face value of the remaining bonds at their maturity on April 1, Year 20.
Gillooly Co. purchased $360,000 of 6%, 20-year Lumpkin County bonds on May 11, Year 1, directly from the county, at their face amount plus accrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Gillooly Co. sold $90,000 of the Lumpkin County bonds at 98 plus $450 accrued interest less a $200 brokerage commission. Journalize the entries to record the following: Do not round interim calculations. Round final answers to nearest dollar. If an amount box does not require an entry, leave it blank. Assume a 360-day year. Question Content Area a. The purchase of the bonds on May 11 plus 40 days of accrued interest. Year 1 May 11 - Select - - Select - - Select - - Select - - Select - - Select - Question Content Area b. Semiannual interest on October 1. Year 1 Oct. 1 - Select - - Select - - Select - - Select -…
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