Deer

Deer Company issued a $75,000, 7.0%,- 2-year bond payable. Journalize the following transactions for Deer Company, and include an explanation for eachentry:

a.

Issuance of the bond payable at face value on January1, 2018

b.

Payment of semiannual cash interest on July1, 2018

c.

Payment of the bond payable atmaturity, assuming the last interest payment had already been recorded.(Give thedate.)

(Record debitsfirst, then credits. Select explanations on the last line of the journalentry.)