On January 1, 201 annually and the effective yield was 12%. Issuance costs were $3,200. Required: a. Prepare the entry to record the issuance of the bonds. b. Prepare the journal entry to record interest expense in 2014 using the effective interest c. Prepare the journal entry to record interest expense in 2014 using the straight-line 3, Smalls, Inc. issued $60,000 of its 12-year 10% bonds for $52,584. Interest is payable method. method