Huta Co. issued \(\$ 500,000\) of 8 percent, 10 -year, callable bonds on January 1,2011 , at their face value. The call premium was 4 percent (bonds are callable at 104). Interest was payable annually on December 31. The bonds were called on December 31, 2015.

Required
Prepare the journal entries to record the bond issue on January 1, 2011, and the bond redemption on December 31, 2015. Assume that all entries for accrual and payment of interest were recorded correctly.