Prepare the necessary journal entries to record the following transactions relating to the long-term issuance of bonds of Pitts Co.:

March 1

Issued $2,000,000 face value Pitts Co. second mortgage, 8% bonds for $2,180,400, including accrued interest. Interest is payable semiannually on December 1 and

June 1 with the bonds maturing 10 years from this past December 1. The bonds are callable at 102.

June 1

Paid semiannual interest on Pitts Co. bonds. (Use straight-line amortization of any premium or discount.)

December 1

Paid semiannual interest on Pitts Co. bonds and purchased $1,000,000 face value bonds at the call price in accordance with the provisions of the bond indenture.