Spring Water Company Ltd. needed to raise $66 million of additional capital to finance the expansion of its bottled water facility. After consulting an investment banker, it decided to issue bonds. The bonds had a face value of $66 million and an annual interest rate of 4.5%, paid semi-annually on June 30 and December 31, and will reach maturity on December 31, 2026. The bonds were issued at 96.1 on January 1, 2016, for $63,426,000, which represented a yield of 5%.

list of accounts:

Cash Income Tax Payable Interest Expense Interest Payable Notes Payable Accumulated Depreciation-Trucks Advances to Employees Deferred Income Tax Asset/Liability Depreciation Expense - Machinery Gain on Redemption of Bonds Income Tax Expense Lease Expense Leased Equipment Lease Obligation Loss on Redemption of Bonds Mortgage Payable Premium on bonds payable Truck Under Finance Lease

Show the journal entry to record the issuance of the bonds. (Credit account titles are automatically indented when the amou Account Titles and Explanation Debit Credit 10 SHOW LIST OF ACCOUNTS LINK TO TEXT Show the journal entries to record the first two interest payments. (Round answers to the nearest whole dollar, e.g. 5,275. Cr Do not indent manually.,) Date Account Titles and Explanation Debit Credit June 30 December 31