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Alexi Co. issued $3.40 million face amount of 6%, 10-year bonds on June 1, 2016. The bonds pay interest on an annual basis on May 31 each year.

b-1. Independent of your answer to part a, assume that the proceeds were $3,044,000. Use the horizontal model to show the effect of issuing the bonds. (Use amounts with + for increases and amounts with for decreases.)

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b-2. Independent of your answer to part a, assume that the proceeds were $3,044,000. Record the journal entry to show the effect of issuing the bonds. (Enter your answer in whole dollar, not in millions. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

• 1. Record the issuance of bond.

a, assume that the proceeds were $3,04 se the horizontal the effect of issuing the bonds. (Use amounts with+ model to show Balance Sheet Income Statement Assets Liabilities + Stockholders' Equit Net Income Revenues Expenses