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  3. entries for investment in bonds, interest, and sal

Entries for Investment in Bonds, Interest, and Sale of Bonds Gonzalez Company acquired $149,400 of...

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Entries for Investment in Bonds, Interest, and Sale of Bonds Gonzalez Company acquired $149,400 of Walker Co., 7% bonds on May 1 at their face amount. Interest is paid semiannually on May 1 and November 1. On November 1, Gonzalez Company sold $54,600 of the bonds for 96. Journalize entries to record the following in Year 1: For a compound transaction, if an amount box does not require an entry, leave it blank. a. The initial acquisition of the bonds on May 1. May 1 Investments-Walker Co. Bonds 54,600 - % x Snipping Tool Cash 54,600 X Drag the cursor around the area you want to capture. Feedback b. The semiannual interest received on November 1. Nov. 1 Cash 1,974 x Interest Revenue 1,974 X Feedback c. The sale of the bonds on November 1. Nov. 1 Cash Loss on Sale of Investments Investments-Walker Co. Bonds Feedback d. The accrual of $1,106 interest on December 31. 21 Interest Receivable Interest Revenue

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