Crane Company issued $$500,000$ of $5-$year, $7\%$ bonds at $98$ on January $1,2022.$ The bonds pay interest annually.

$($a$1).$

$($a$2)$

$($b$1)$

Prepare the journal entry to record the issuance of the bonds, assuming the bonds were issued at $103.($Credit account titles automatically indented when amount is entered. Do not indent manually.$)$

Account Titles and Explanation

Debit

Credit