The Reba Company purchased 10%, $800,000 bonds of the Trading Up Company at par plus accrued interest on April 1, 2014, as an investment in trading securities. The bonds pay interest on June 30 and December 31 each year. The entry by Reba on April 1, 2014, would include a

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Reba Company would credit Cash for $820,000, which includes the $800,000 purchase price of the bonds and $20,000 accrued interest for the period from January 1 to April 1.

The Reba Company Purchased 10%, $800,000 Bonds of the Trading