Blossom Company sold $3,100,000,7%,10-year bonds on January 1, 2017. The bonds were dated January 1, 2017, and pay interest on January 1. The company uses straight-line amortization on bond premiums and discounts. Financial statements are prepared annually.

(a)

Prepare the journal entries to record the issuance of the bonds assuming they sold at: (1)101and (2)95.