Denzel Corporation is planning to issue bonds with a face value of $$600,000$ and a coupon rate of $7\mathrm{.}5$ percent. The bonds mature in four years and pay interest semiannually every June $30$ and December $31.$ All of the bonds were sold on January $1$ of this year. Denzel uses the effective$-$interest amortization method and also uses a discount account. Assume an annual market rate of interest of $8\mathrm{.}5$ percent. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ and PVA of $$1)$

Note: Use appropriate factor$($s$)$ from the tables provided.

Required:

and $2.$ Prepare the journal entries to record the issuance of the bonds and interest payment on June $30$ of this year.

What bonds payable amount will Denzel report on its June $30$ balance sheet?

Complete this question by entering your answers in the tabs below.

Required $1$ and $2$

and $2.$ Prepare the journal entries to record the issuance of the bonds and interest payment on June $30$ of this year. $($If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Round your final answers to whole dollars.$)$

Journal entry worksheet

$1$

$2$

Record the issuance of bonds.

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[$January $01,,,],[,,,],[,,,],[,,,],[,,,],[,,,]]$