Sarred Help Save & Exit Sub 7 on January 1, 2018, Whittington Stoves issued $710 million of its 10% bonds for $646 million. The bonds were priced to yield 12% Interest is payable semiannually on June 30 and December 31. Whittington records interest at the effective rate and elected the option to report these bonds at their fair value. One million dollars of the increase in fair value was due to a change in the general risk-free) rate of interest. On December 31, 2018, the fair value of the bonds was $662 milion as determined by their market value on the NYSE Required: 1. Prepare the journal entry to record interest on June 30, 2018 (the first interest payment). 2. Prepare the journal entry to record interest on December 31, 2018 (the second interest payment). 3. Prepare the journal entry to adjust the bonds to their fair value for presentation in the December 31, 2018, balance sheet. 4 points Book Complete this question by entering your answers in the tabs below. References Required 1 Required 2 Required 3 Prepare the journal entry to record interest on June 30, 2018 (the first interest payment). (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Enter your answers in whole dollars.) View transaction list Journal entry worksheet Record the interest on June 30, 2018 Journal entry worksheet Record the interest on June 30, 2018. Note: Enter debits before credits Date General Journal Debit Credit June 30, 2018 Record entry Clear entry View general Journal first account field. Enter your answers in whole dollar View transaction list Journal entry worksheet 1 Record the interest on December 31, 2018. Note: Enter debits before credits Date General Journal Debit Credit December 31, 2018 Record entry Clear entry View general Journal Hrst account field. Enter your answers in View transaction list Journal entry worksheet