Obligations Law, a law firm, sells $8,150,000 of four-year, 8% bonds priced to yield 6.6%. The bonds are dated January 1, 2021, but due to some regulatory hurdles are not issued until March 1, 2021. Interest is payable on January 1 and

July 1 each year. The bonds sell for $8,388,175 plus accrued interest.

On July 1, 2021, after the interest payment has been made. Obligations Law pays a total of $8,425,879 to reacquire the bonds and retires them.

Required:

Prepare journal entries to record:

a. The issuance of the bonds - assume that Obligations Law has adopted a policy of crediting interest expense for the accrued interest on the date of sale.

b. Payment of interest and related amortization on July 1, 2021.

c. Reacquisition and retirement of the bonds.

Mown to another question will save this son Questions29 Questions 13 points ON Lawlow. 150.000 of years banchied to yield 6. The body 1.2001 tetowy March , men Iwy i hear the band sell for 58,368,175 plodimi Only the symbolimaw pay $8,425 379 to run the book in the Red Preparato con The more home the Ottawh adopted a policy of creating interest expense for the second to the date of IPvyment of internation July 1, 2001 Regoland met the bed For the toolbar, press ALT F10 C1 or ALTERN+F10 M. BIS Paragraph Arial 101 A 2 T. . . 1) XX 32 1. BB T12