Whitewater Company issued $300,000, 9%, 20-year bonds on January 1, 2001, at 103. Interest is payable semiannually on July 1 and January 1. Whitewater uses straightline amortization for bond premium or discount. Interest is not accrued on June 30.

Instructions Prepare the journal entries to record these events:

(a) The issuance of the bonds.

(b) The payment of interest and the premium amortization on July 1, 2001.

(c) The accrual of interest and the premium amortization on December 31, 2001.

(d) The redemption of the bonds at maturity, assuming interest for the last interest period has been paid and recorded.