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Required information

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Duval Company issues four$-$year bonds with a $$120,000$ par value on January $1,2021,$ at a price of $$115,830.$ The annual contract rate is $7\%,$ and interest is paid semlannually on June $30$ and December $31.$

$2.$ Prepare journal entries to record the first two interest payments.

Journal entry worksheet

$1.$

$2$

Record the interest payment and discount amortization on June $30,2021.$

Note: Enter debits before credits.