Instructions For each independent situation above, prepare tHe ap redemption or conversion of the bonds. E15-9 Jernigan Co. receives $300,000 when it issues a $300,000, 10%, mortgage note pay. able to finance the construction of a building at December 31, 2017. The terms provide for annual installment payments of $50,000 on December 31. Instructions Prepare the journal entries to record the mortgage loan and the first two payments. Innuary 1, 2017, by issuing a $300,000