2. Proctec Trust Inc. issued $100,000, 5 year bond on January 1, 2018 paying 4% intereston a semi-annual basis every January 1 and July 1. Instructions Using a financial calculator, or tables on pg. 550 - 551(students can also use pre-built excel formulas if they are expert users of excel program) prepare the first year journal entries for the bond issue and interest expense assuming that the company uses the effective interest method, a market interest rate of 6% and has a year-end of December 31, 2018