Oriole SpA issued 400,000, 7%, 20-year bonds on January 1, 2020, for 360,727. This price resulted in an effective-interest rate of 8% on the bonds. Interest is payable annually on January 1. Oriole uses the effective-interest method to amortize bond premium or discount.

Prepare the journal entry to record the issuance of the bonds. (Round answers to 0 decimal places, e.g. 15,250. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
Jan. 1

Oriole SpA issued 400,000, 7%, 20-year bonds on January 1, 2020, for 360,727. This price resulted in an effective-interest rate of 8% on the bonds. Interest is payable annually on January 1. Oriole uses the effective-interest method to amortize bond premium or discount. (a) Prepare the journal entry to record the issuance of the bonds. (Round answers to 0 decimal places, e.g. 15,250. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 1