Bb Homework $14-4$

Sportswear Corporation issued $$5,536,676$ of $8\%$ bonds on October $1,2017,$ due on October $1,2022.$ The interest is to be paid twice a year on April $1$ and October $1.$ The bonds were sold to yield $10\%$ effective annual interest. Sportswear Corporation closes its books annually on December $31.$ Sportswear uses the effective$-$interest method.

Instructions: In the space provided on the next few pages, prepare all necessary journal entries for the years $2017$ and $2018.|$