E10-7 (Algo) Preparing Journal Entries to Record Issuance of Bonds and Payment of Interest [LO 10-3] On January 1, Applied Technologies Corporation (ATC) issued $700,000 in bonds that mature in 10 years. The bonds have a stated interest rate of 12 percent. When the bonds were issued, the market interest rate was 12 percent. The bonds pay interest once per year on December 31. Required: 1. Determine the price at which the bonds were issued and the amount that ATC recelved at issuance. 2. \& 3. Prepare the required journal entries to record the bond issuance and the first interest payment on December 31 assuming no interest has been accrued earlier in the year. Complete this question by entering your answers in the tabs below. Determine the price at which the bonds were issued and the amount that ATC received at issuance. Journal entry worksheet Record the issuance of bonds of $700,000. Note: Enter debits before credits. Journal entry worksheet Record the interest payment on December 31. Note: Enter debits before credits