question 1

question 2

The Square Foot Grill, Incorporated issued $300,000 of 10 -year, 8 percent bonds on July 1, Year 1 , at 103 . Interest is payable in cash semiannually on June 30 and December 31 . The straight-line method is used for amortization. c. What amount of interest expense will Square Foot report on the financial statements for Year 1 and Year 2? On January 1, Year 1, Price Company issued $135,000 of five-year, 4 percent bonds at 95 . Interest is payable annually on December 31 . The discount is amortized using the straight-line method. Required Prepare the journal entries to record the bond transactions for Year 1 and Year 2 . (If no entry is required for a transaction/event, select "No journal entry required" in the first occount field.)