NEED HELP SOLVING THE ENTRIES THAT ARE IN RED thank you!!

On January 1, 2016, Knorr Corporation issued $700,000 of 6%, 5-year bonds dated January 1, 2016. The bonds pay interest annually on December 31. The bonds were issued to yield 7%. Bond issue costs associated with the bonds totaled $8,312.46.

Required:

Prepare the journal entries to record the following:

January 1, 2016	Sold the bonds at an effective rate of 7%
December 31, 2016	First interest payment using the effective interest method
December 31, 2016	Amortization of bond issue costs using the straight-line method
December 31, 2017	Second interest payment using the effective interest method
December 31, 2017	Amortization of bond issue costs using the straight-line method

Prepare the journal entries to record the following: Additional Instructions

January 1, 2016	Sold the bonds at an effective rate of 7%
December 31, 2016	First interest payment using the effective interest method
December 31, 2016	Amortization of bond issue costs using the straight-line method
December 31, 2017	Second interest payment using the effective interest method
December 31, 2017	Amortization of bond issue costs using the straight-line method

General Journal Shaded cells have feedback. PAGE 2016 PAGE 2017 GENERAL JOURNAL Score: 181/193 DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT 1 Jan. 1 Cash 671,298.60 2 Discount on Bonds Payable 28,701.40 3 700,000.00 Bonds Payable Jan. 1 Deferred Bond Issue Costs 4 8,312.46 5 Cash 8,312.46 > 6 Dec. 31 Interest Expense 47,035.00 7 Cash 42,000.00 8 Discount on Bonds Payable 5,343.35 9 Dec. 31 Interest Expense 1,662.49 10 Deferred Bond Issue Costs 1,662.49 General Journal Shaded cells have feedback. How does grading work? PAGE 2016 PAGE 2017 GENERAL JOURNAL Score: 181/193 DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT 1 Dec. 31 Interest Expense 47,343.35 2 42,000.00 3 5,343.35 Cash Discount on Bonds Payable Dec. 31 Interest Expense Deferred Bond Issue Costs 4 1,662.49 5 1,662.49 Points: 33.76 / 36 Instructions General Journal Present Value Tables x Shaded cells have feedback. X Table 3 - Present Value of 1: Pri (1+0)" 4.5% n 1.5% 4.0% 5.0% 5.5% 6.0% 7.0% 8.0% 9.0% 10.0% 12.0% 14 1 0.985222 0.961538 0.956938 0.952381 0.947867 0.943396 0.934579 0.925926 0.917431 0.909091 0.892857 0.87 2 0.970662 0.924556 0.915730 0.907029 0.898452 0.889996 0.873439 0.857339 0.841680 0.826446 0.797194 0.76 3 0.956317 0.888996 0.876297 0.863838 0.851614 0.839619 0.816298 0.793832 0.772183 0.751315 0.711780 0.67 4 0.942184 0.854804 0.838561 0.822702 0.807217 0.792094 0.762895 0.735030 0.708425 0.683013 0.635518 0.59 5 0.928260 0.821927 0.802451 0.783526 0.765134 0.747258 0.712986 0.680583 0.649931 0.620921 0.567427 0.51 6 0.914542 0.790315 0.767896 0.746215 0.725246 0.704961 0.666342 0.630170 0.596267 0.564474 0.506631 0.45 7 0.901027 0.759918 0.734828 0.710681 0.687437 0.665057 0.622750 0.583490 0.547034 0.513158 0.452349 0.39 8 0.887711 0.730690 0.703185 0.676839 0.651599 0.627412 0.582012 0.540269 0.501866 0.466507 0.403883 0.35