On January $1,$ Boston Enterprises issues bonds that have a $$1,300,000$ par value, mature in $20$ years, and pay $7\%$ 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$)96$ and $($b$)104.$

Complete this question by entering your answers in the tabs below.

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 $31.$

Journal entry worksheet

$1$

$2$

$3$

Record the issue of bonds at par on January $1.$

Note: Enter debits before credits.

$\backslash$table$[[$Date$,$General Journal,Debit,Credit$],[$January $01,,,],[,,,],[,,,],[,,,],[,,,]]$