Blue Spruce Corp. issued $ 465,000, 8%, 25-year bonds on January 1, 2017, for $ 380,584. This price resulted in an effective-interest rate of 10% on the bonds. Interest is payable annually on January 1. Blue Spruce uses the effective-interest method to amortize bond premium or discount.

Prepare the journal entryto record the accrual of interest and the discount amcrtization on December 31,2017.(Round answers to O decimal places, e.g. 5,275. Credit account titles are automatically indented when amount is entered. Do not indent manually. Tool Content Account Titles and Explanation Debit Credit Dec. 31,2017 List of Accounts Preparethe urna entry to record the payment of interest on January 1 2018 Round answers to 0 decimal places e5,275. Credit account titles are automatically indented when anout s entered. Do not indent manually. Date Account Titles and Explanation Debit Credit Jan 1 2018 List of Accounts