Lombard Company issued $400,000 of 8%, 10-year bonds on January 1, 2021, at face value. Interest is payable annually on January 1, 2022. Instructions

a) Prepare the journal entry to record the issuance of the bonds.

b) Prepare the journal entry to record the accrual of interest on December 31, 2021.

c) Prepare the journal entry to record the payment of interest on January 1, 2022.

d) Assuming Lombard has a September 30 year end, prepare the adjusting journal entry needed on September 30, 2021, and prepare the journal entry to record the interest payment on January 1, 2022, assuming reversing entries have not been used.