E8-1 Bond Sale from Parent to Subsidiary (Effective Interest Method) LO 8-2 Pretzel Corporation owns 60 percent of Stick Corporation's voting shares. On January 1, 20X2, Pretzel Corporation sold $185,000 par value, 8 percent first mortgage bonds to Stick for $191,000. The bonds mature in 10 years and pay Interest semiannually on January 1 and July 1. Required: a. Prepare the journal entries for 20X2 for Stick related to its ownership of Pretzel's bonds. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your Intermediate calculations. Round your final answers to nearest whole dollar.) View transaction list Journal entry worksheet