Bonds Payable Journal Entries; Effective Interest Amortization

On December $31,$ Daggett Company issued $$600,000$ of ten$-$year, $9\%$ bonds payable for $$550,532,$ yielding an effective interest rate of $10\%.$ Interest is payable semiannually on June $30$ and December $31.$ Prepare journal entries to reflect $($a$)$ the issuance of the bonds, $($b$)$ the semiannual interest payment and discount amortization $($effective interest method$)$ on June $30,$ and $($c$)$ the semiannual interest payment and discount amortization on December $31.$ Round amounts to the nearest dollar.

General Journal

Date Description Debit Credit

a$.)$

Dec$\mathrm{.}31$ Cash Answer

Answer

Answer

Answer

Answer

Answer

Answer

Answer

To record issuance of bonds.

b$.)$

Jun$\mathrm{.}30$ Answer

Answer

Answer

Answer

Answer

Answer

Cash Answer

Answer

To record semiannual interest payment and discount amortization.

c$.)$

Dec$\mathrm{.}31$ Answer

Answer

Answer

Answer

Answer

Answer

Cash Answer

Answer

To record semiannual interest payment.