On January 1 of Year 1, Alpha Corporation issued $400,000 of 8% (cash payable semiannually on June 30 and December 31), three-year bonds to yield 10%. Required a. Compute the selling price of the bonds, net of the bond issuance costs. c. Prepare entries on January 1 of Year 1 to record bond issuance, and on June 30 and December 31 of Year 1 to record interest payments. d. Indicate how the company would report the bond transactions in the balance sheet and income statement for the year ended December 31 of Year 1.