E13-3 EmmyLou Company purchased 70 Harris Company 12%, 10-year, $1,000 bonds on

Price: $1.99


EmmyLou Company purchased 70 Harris Company 12%, 10-year, $1,000 bonds on
January 1, 2008, for $73,000. EmmyLou Company also had to pay $500 of broker’s fees. The bonds pay interest semiannually. On January 1, 2009, after receipt of interest, EmmyLou Company sold 40 of the bonds for $40,100.

Instructions
Prepare the journal entries to record the transactions described above.