n March 1, 2021, Stratford Lighting issued 14% bonds, dated March 1, with a face amount of $570,000. The bonds sold for $564,000 and mature on February 28, 2041 (20 years). Interest is paid semiannually on August 31 and February 28. Stratford uses the straight-line method and its fiscal year ends December 31.

No	Date	General Journal	Debit	Credit
1	March 01, 2021	Cash	564,000
		Discount on bonds payable	6,000
		Bonds payable		570,000
2	August 31, 2021	Interest expense	40,050
		Discount on bonds payable		150
		Cash		39,900
3	December 31, 2021	Interest expense
		Discount on bonds payable
		Interest payable
4	February 28, 2022	Interest expense
		Interest payable
		Discount on bonds payable
		Cash