Question 2 Elementary Limited issued a $110,000, 6.5%, 15-year debenture. Journalise the following transactions for Elementary Limited (include an explanation for each entry). a) Issue of the debentures at par on 1 January 2021.

b) Payment of half-yearly cash interest on 1 July 2021.

c) Payment of the debenture at maturity (give the date).

xxGeneral journal DATE ACCOUNT TITLES AND EXPLANATIONS POST. REF. DEBIT CREDIT a. b. c.