The board of directors of Dina Fragrances Company authorizes the issue of \(\$ 2\) million of 8 -percent, 20-year bonds payable. The semiannual interest dates are March 31 and September 30. The bonds are issued through an underwriter on April 30, 19X7, at par plus accrued interest.

\section*{Required}

1. Journalize the following transactions:

a. Issuance of the bonds on April 30, 19X7.

b. Payment of interest on September 30, 19X7.

c. Accrual of interest on December 31, 19X7.

d. Payment of interest on March 31, 19X8.

2. Check your recorded interest expense for \(19 \times 7\), using as a model the supplement to the summary problem on page 649 .

3. Report interest payable and bonds payable as they would appear on the Dina Fragrances balance sheet at December \(31,19 \times 7\).