On January 1 of the current year, a company issued $600,000 of its 10-year, 10% bonds for $472,872. The bonds were priced to yield 14%. Interest is payable semiannually on June 30 and December 31. The company records interest at the effective rate and elected the option to report these bonds at their fair value. On December 31 of the current year, the market interest rate for bonds of similar risk and maturity was 11%. The bonds are not traded on an active exchange. The decrease in the market interest rate was due to a 1% decrease in general (risk-free) interest rates. Note: Use tables, Excel, or a financial calculator. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) Required: 1. Using the information provided, estimate the fair value of the bonds at December 31 of the current year. 2. to 4. Prepare the journal entries to record interest on June 30 of the current year (the first interest payment), on December 31 of the current year (the second interest payment), and to adjust the bonds to their fair value for presentation in the December 31, current year, balance sheet. Complete this question by entering your answers in the tabs below. Req 1 Req 2 to 4 Prepare the journal entries to record interest on June 30 of the current year (the first interest payment), on December 31 of the current year (the second interest payment), and to adjust the bonds to their fair value for presentation in the December 31, current year, balance sheet. Note: If no entry is required for a transaction/event, select "No journal entries required" in the first account field. Round final answers to the nearest whole dollars. Show less