1. On January 1, a business issues $700,000 face value, 5 year, 8% contract rate bonds dated January 1. Prepare any necessary journal entries on January 1 to issue the bonds under the following independent circumstances. (Please be sure to show your work.) Face Value =$700,000 Assuming the par value of debenture is 100, that means there are 7000 debentures as 700000/100 = 7000. A. The bonds are sold at 100. B. The bonds are sold at 82.5. C. The bonds are sold at 109.5.