why are these wrong Check My Workc. Sale of the bonds on October 31.CashYear 1 Oct. 3130,140 VLoss on Sale of Investments35Interest Revenue v30,000 xInvestments-Lumpkin County Bonds v175 XFeedbackCheck My Workd. Adjusting entry for accrued interest on December 31, Year 1.Interest ReceivableYear 1 Dec. 31849Interest Revenue849FeedbackCheck My Work Gillooly Co. purchased $78,000 of 7%, 10-year Lumpkin County bonds on May 11, Year 1, directly from the county, at their face amount plusaccrued interest. The bonds pay semiannual interest on April 1 and October 1. On October 31, Year 1, Gillooly Co. sold $30,000 of the LumpkinCounty 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 amountbox 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 Bonds78,000Interest Receivable v606 XCash78,606 XFeedbackCheck My Workb. Semiannual interest on October 1.CashYear 1 Oct. 12,730Interest Receivable606 XInterest Revenue2,124 XFeedback

a. The purchase of the bonds on May 11 plus 40 days of accrued interest. Year 1 May 11 Investments-Lumpkin County Bonds v 78,000 Interest Receivable v 606 X Cash v 78,606 X Feedback Check My Work b. Semiannual interest on October 1. Year 1 Oct. 1 Cash 2,730 V Interest Receivable 606 X Interest Revenue v 2,124 X 00

a. The purchase of the bonds on May 11 plus 40 days of accrued interest. Year 1 May 11 Investments-Lumpkin County Bonds v 78,000 Interest Receivable v 606 X Cash v 78,606 X Feedback Check My Work b. Semiannual interest on October 1. Year 1 Oct. 1 Cash 2,730 V Interest Receivable 606 X Interest Revenue v 2,124 X 00

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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