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On February 1, 2021, Strauss-Lombardi issued 9% bonds, dated February 1, with a face amount of $660,000. The bonds sold for $603,378 and mature on

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On February 1, 2021, Strauss-Lombardi issued 9% bonds, dated February 1, with a face amount of $660,000. The bonds sold for $603,378 and mature on January 31, 2041 (20 years). The market yield for bonds of similar risk and maturity was 10%. Interest is paid semiannually on July 31 and January 31. Strauss-Lombardi's fiscal year ends December 31. Required: 1. to 4. Prepare the journal entries to record their issuance by Strauss-Lombardi on February 1, 2021, interest on July 31, 2021 (at the effective rate), adjusting entry to accrue interest on December 31, 2021 and interest on January 31, 2022. (Do not round your intermediate calculations and round your final answers to nearest whole dollar. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date General Journal Debit Credit 1 February 01, 2021 Cash Discount on bonds payable Bonds payable 2 July 31, 2021 Interest expense Discount on bonds payable Cash >> 3 December 31, 202 Interest expense Discount on bonds payable Cash x 4. January 31, 2022 Interest expense Interest payable Discount on bonds payable Cash

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