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On January 1 , 2024 , Sage Hill Corporation issued $ 1,920,000 face value , 4 % , 10 - year bonds at $ 1,771,743

On January 1 , 2024 , Sage Hill Corporation issued $ 1,920,000 face value , 4 % , 10 - year bonds at $ 1,771,743 . This price resulted in an effective - interest rate of 5 % on the bonds . Sage Hill uses the effective - interest method to amortize bond premium or discount . The bonds pay annual interest January 1 . Prepare the journal entry to record the issuance of the bonds on January 1 , 2024. ( List debit entry before credit entry . 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 O for the amounts . Round answers to decimal places , e.g. 5,276 ) Date Account Titles Debit Credit Jan. 1 , 2024

Prepare the journal entry to record the accrual of interest and the amortization of the discount on December 31, 2024. (List all debit entries before credit entries. 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 O for the amounts. Round answers to O decimal places, eg 5,276)

Debit

Credit

Date

Account Titles

Dec. 31, 2024

-16

Question Part Score

Prepare the journal entry to record the payment of interest on January 1, 2025 List debit entry before credit entry 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 D for the amounts Round answers to Odecimal places, er 5,276)

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