On March 15, 20x5, a company issued bonds, dated December 31, 20x4, with the following characteristics:

Face Value $2,000,000

Coupon rate 4.2%

Yield to maturity 4.4%

Coupon payment dates Jun 30, Dec 31

Maturity Dec 31, 20x19

The total bond proceeds of $1,974,128 were credited to the bond payable account and coupon payments were charged to the Interest Expense account.

Required- Show how the total bond proceeds were calculatedandprepare the adjusting journal entry at December 31, 20x5. Your adjusting entry should only have two entries: one debit and one credit.