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Brief Exercise 12-1 Ownbey Corporation purchased debt investments for $64,310 on January 1, 2015. On July...

Brief Exercise 12-1 Ownbey Corporation purchased debt investments for $64,310 on January 1, 2015. On July 1, 2015, Ownbey received cash interest of $3,890. Journalize the purchase and the receipt of interest. Assume that no interest has been accrued. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit

Solutions

Expert Solution

Date accounts Debit Credit
Jan 1, 2015 Debt investment $64310
Cash 64310
July 1 ,2015 cash 3890
Interest revenue 3890

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