On January 1, 2019, Gatrong Corporation purchased 14%, 5-year Fleming Corporation bonds with a face value of $100,000. It expects to hold these bonds until maturity. The bonds pay interest semiannually on June 30 and December 31. Gatrong paid $115,443, a price that yields a 10% effective annual interest rate.

Required:

Prepare the journal entry on June 30 for Gatrong to record the first interest receipt, using the effective interest method.