On January 1, 2021, Wildcat Company purchased $93,000 of 10% bonds at discount. The market interest rate is 12%. The bonds are to be held-to-maturity, and will last for 3 years. The bonds pay interest semiannually on January 1 and July 1.

Required:

(1.) Prepare the appropriate journal entry to record the acquisition of the bonds.

(2.) Record the first two interest payments.