Rock Company issued a $1,000,000 bond on January 1, 2010. The bond was dated January 1, 2010, had an 8% stated rate, pays interest annually on December 31, and sold for $924,184 at a time when the market rate of interest was 10%. Rock uses the effective-interest method to account for its bonds.

Prepare the necessary journal entry for each of the following dates (assuming that no adjusting journal entries have been made during the year):

January 1, 2010

December 31, 2010

December 31, 2011