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On January 1, 2022, Indigo Corporation issued $ 1,800,000 face value, 6%, 10- year bonds at $ 1,673,576. This price resulted in an effective-interest rate

On January 1, 2022, Indigo Corporation issued $ 1,800,000 face value, 6%, 10- year bonds at $ 1,673,576. This price resulted in an effective-interest rate of 7% on the bonds. Indigo uses the effective-interest method to amortize bond premium or discount. The bonds pay annual interest January 1. (a) Prepare the journal entry to record the issuance of the bonds on January 1, 2022. (Round answers to 0 decimal places, e.g. 125. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 1 enter an account title for the journal entry on January 1enter an account title for the journal entry on January 1 enter a debit amountenter a debit amount enter a credit amountenter a credit amount enter an account title for the journal entry on January 1enter an account title for the journal entry on January 1 enter a debit amountenter a debit amount enter a credit amountenter a credit amount enter an account title for the journal entry on January 1enter an account title for the journal entry on January 1 enter a debit amountenter a debit amount enter a credit amountenter a credit amount eTextbook and MediaAssistance Used eTextbook List of Accounts Attempts: 0 of 3 used

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