Entries for Bonds Payable and Installment Note Transactions The following transactions were completed by Montague Inc., whose fiscal year is the calendar year Year 1 issued $2,110,000 of five-year, 7% callable bonds dated July 1, Year 1, at a market (effective) rate of 9%, receiving cash of $1,943,042 Interest is payable semiannually on December 31 and June 30 Borrowed $360,000 by issuing a 10-year, 6% installment note to Intexicon Bank. The note requires annual payments of $48,912, with the first payment occurring on September 30, Year 2 July 1 Oct. 1 Dec. 31. Accrued $5,400 of interest on the installment note. The interest is payable on the date of the next installment note payment Paid the semiannual interest on the bonds. The bond discount amortization of $16,696 is combined with the semiannual interest Dec. 31 payment. Year 2 Paid the semiannual interest on the bonds. The bond discount amortization of $16,696 is combined with the semiannual interest June 30 payment. Sept. 30. Paid the annual payment on the note, which consisted of interest of $21,600 and principal of $27,312 Dec. 31. Accrued $4,990 of interest on the installment note. The interest is payable on the date of the next installment note payment. Paid the semiannual interest on the bonds. The bond discount amortization of $16,696 is combined with the semiannual interest Dec. 31 payment. Year 3 Recorded the redemption of the bonds, which were called at 98. The balance in the bond discount account is $100,174 after payment of interest and amortization of discount have been recorded. (Record the redemption only.) June 30 Sept. 30. Paid the second annual payment on the note, which consisted of interest of $19,961 and principal of $28,951 Required: 1. Journalize the entries to record the foregoing transactions. For compound transactions, if an amount box does not require an entry, leave it blank or enter "O" When required, round your answers to the nearest dollar Date Account Debit Credit Previous