Question 2 Sheridan Company sald $5,300,000, 7%, 15-year bonds on January 1, 2022. The bands were dated January 1, 2022, and pay interest on December 31. The bonds were sold at 99. (a) Your answer is correct. Prepare the journal entry to record the issuance of the bonds on January 1, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Debit Credit Date Account Titles and Explanation Jan. 1 Cash 5,247,000 53,000 Discount on Bonds Payable Bonds Payable 5,300,000 Click if you would like to Show Work for this question: Open Shaw Work SHOW LIST OF ACCOUNTS SHOW SOLUTION SHOW ANSWER LINK TO TEXT Attempts: 1 of 3 used Your answer is correct. At December 31, 2022, $8,000 of the bond discount had been amartized. Show the long-term liability balance sheet presentation of the band liability at December 31, 2022. SHERIDAN COMPANY Balance Sheet (Partial) December 31, 2022 Long-term Liabilities Bonds Payable 5,300,000 Less Discount on Bonds Payable 45,000 5,255,000 Click if you would like to show Work for this question: Open Show Work (c) Your answer is partially correct. Try again. At January 1, 2024, when the carrying value of the bonds was $5,194,000, the company redeemed the bonds at 101. Record the redemption of the bonds assuming that interest for the year had already been paid. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Jan. 1 Bonds Payable 5,300,000 Loss on Bond Redemption 106,000 1 Discount on Bonds Payable 53,000 Cash 5,353,000 Click if you would like to Show Work for this question: Open Show Work SHOW LIST OF ACCOUNTS LINK TO TEXT Attempts: 1 of 3 used