On January $1,$ Boston Enterprises issues bonds that have a $$2,000,000$ par value, mature in $20$ years, and pay $10\%$ 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$)104.$

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Required $3$

Prepare the journal entry for issuance assuming the bonds are issued at $($a$)96$ and $($b$)104.$

Journal entry worksheet

$1$

$2$

Record the issue of bonds at $96.$