Issued Bond on December 31, 2019

Face Amount $500,000

Stated Maturity Rate 6%

Maturity Date December 31, 2029

Interest Paid Semi-Annually starting on June 30, 2020

The market believes the stated rate is high, pays price of 105 for the bond

We close quarterly starting on 3/31

Prepare necessary journal entries on 12/31/19, 3/31/20 and 6/30/20

On January 1, 2022, we redeemed the bonds at a price of 103

Prepare the necessary journal entry on 1/1/22; closing entries have been made through 12/31/21