On January 1, 2021, Sandhill Ltd. issued $490,000 of 5%, 5-year bonds. The bonds were issued to yield a market interest rate of 6%. Sandhills year end is December 31. On January 1, 2023 immediately after making and recording the semi-annual interest payment, Sandhill redeemed the bonds. A partial bond amortization schedule is presented below.

Semi-Annual Interest Period		Interest Payment		Interest Expense		Amortization			Bond Amortized Cost
Jan. 1, 2021									$469,101
July 1, 2021		12,250		$14,073		$1,823			470,924
Jan. 1, 2022		12,250		14,128		1,878			472,802
July 1, 2022		12,250		14,184		1,934			474,736
Jan. 1, 2023		12,250		14,242		1,992			476,728

Prepare the journal entry to record the payment of interest on July 1, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
July 1
	(To record interest payment.)

List of Accounts

Prepare the journal entry to accrue the interest expense on December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Dec. 31
	(To accrue interest expense.)

List of Accounts

Prepare the journal entry to record the payment of interest on January 1, 2022. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Jan. 1
	(To record interest payment.)

List of Accounts

Prepare the journal entry to record the redemption of the bonds assuming they were redeemed at 100 on January 1, 2023. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Jan. 1
	(To record redemption of bonds.)

List of Accounts

Prepare the journal entry to record the redemption of the bonds assuming they were redeemed at 96. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Jan. 1
	(To record redemption of bonds.)

List of Accounts