eBook Show Me How Calculator Entries for Bonds Payable and installment Note Transactions The following transactions were completed by Winklevoss Inc., whose fiscal year is the calendar year: Year 1 July 1. Issued $6,260,000 of five-year, 11% Callable bonds dated July 1, Year 1, at a market (effective) rate of 12%, receiving cash of $6,029,629. Interest is payable semiannually on December 31 and June 30. Oct. 1. Borrowed $430,000 by Issuing a 10-year, 6% installment note to Nicks Bank. The note requires annual payments of $58,423, with the first payment occurring on September 30, Year 2 Dec. 31. Accrued $6,450 of interest on the installment note. The interest is payable on the date of the next installment note payment. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $23,037 is combined with the semiannual interest payment Year 2 June 30. Paid the semiannual interest on the bonds. The bond discount amortization of $23,037 is combined with the semiannual interest payment Sept. 30. Paid the annual payment on the note, which consisted of interest of $25,800 and principal of $32,623. Dec. 31. Accrued $5.961 of interest on the installment note. The interest is payable on the date of the next installment note payment. 31. Paid the semiannual interest on the bonds. The bond discount amortization of $23,037 is combined with the semiannual interest payment Year 3 June 30. Recorded the redempton of the bonds, which were called at 98. The balance in the bond discount account is $138,223 after payment of interest and amortization of discount have been recorded. Record the redemption only Sept. 30. Paid the second annual payment on the note, which consisted of interest of $23,843 and principal of $34,580 Required: Safalse eBook Show Me How Calculator 1. Journalire the entries to record the foregoing transactions. If an amount box does not require an entry, leave blank Date Account Debit Credit ( Year I July Oct. 1 Dec. 31.Note Dec. 31-Bond Year 2 June 30 Check My Work more Check My Worx senang w.com/len/takeAssignment/takeAssignmentMain.doFinvoker=&takeAssignmentSessionLocator &inprogress=false ent eBook Show Me How Calculator Sept. 30 Dec. 31-Note Dec. 31-Bond Year 3 June 30 TIIL Sept. 30 Sept. 30 2. Indicate the amount of the interest expense in (a) Year 1 and (b) Year 2. a. Year 1 $ b. Year 2 $ 3. Determine the carrying amount of the bonds as of December 31, Year 2. S