#2 (Ch.14) On January 1, the first day of the fiscal year, a company issues a $1,000,000, 5% APR 10 year bond that pays semiannual interest of $25,000 ($1,000,000 x 5% x 1/2 year) receiving cash of $1,000,000. a. Journalize the entries to record the issuance of the bond. b. Journalize the first interest payment on June 30.