Bond investment transactions
Response to the following problem:
Journalize the entries to record the following selected bond investment transactions for Starks Products:
a. Purchased for cash $120,000 of Iceline, Inc. 5% bonds at 100 plus accrued interest of $1,000.
b. Received first semiannual interest payment.
c. Sold $60,000 of the bonds at 101 plus accrued interest of $500.