On January 1, 2021, White Water issues $420,000 (face) of 6% bonds, due in 20 years, with interest payable annually on December 31 each year. Assuming the market interest rate on the issue date is 7%, the bonds will issue at $375,505.

Required:

1. Complete the first three rows of an amortization schedule

2. 2. Record the bond issue on January 1, 2021, and the first two interest payments on December 31, 2021, and December 31, 2022.