On January $1,$ Boston Enterprises issues bonds that have a $$1,350,000$ par value, mature in $20$ years, and pay $8\%$ interest semiannually on June $30$ and December $31.$ The bonds are sold at par.

How much interest will the issuer pay $($in cash$)$ to the bondholders every six months?

Prepare journal entries to record $(a)$ the issuance of bonds on January $1,(b)$ the first interest payment on June $30,$ and $(c)$ the second interest payment on December $31.$

Prepare the journal entry for issuance assuming the bonds are issued at $($a$)97$ and $($b$)103.$

Complete this que$$tion by entering your answers in the tabs below.

Prepare the journal entry for issuance assuming the bonds are issued at $($a$)97$ and $($b$)103.$