On January 1, 2018, Twister Enterprises, a manufacturer of a variety of transportable spin rides, issues $430,000 of 6% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year.

Required:

1. If the market interest rate is 6%, the bonds will issue at $430,000. Record the bond issue on January 1, 2018, and the first two semiannual interest payments on June 30, 2018, and December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Journal entry worksheet

• Record the bond issue.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
January 01, 2018

2. If the market interest rate is 7%, the bonds will issue at $384,087. Record the bond issue on January 1, 2018, and the first two semiannual interest payments on June 30, 2018, and December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

3. If the market interest rate is 5%, the bonds will issue at $483,971. Record the bond issue on January 1, 2018, and the first two semiannual interest payments on June 30, 2018, and December 31, 2018. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)