The following transactions were completed by Winklevoss Inc., whose fiscal year is the calendar year:

Year 1
July 1.	Issued $6,180,000 of five-year, 10% callable bonds dated July 1, Year 1, at a market (effective) rate of 11%, receiving cash of $5,947,088. Interest is payable semiannually on December 31 and June 30.
Oct. 1.	Borrowed $430,000 by issuing a 10-year, 6% installment note to Nicks Bank. The note requires annual payments of $58,423, with the first payment occurring on September 30, Year 2.
Dec. 31.	Accrued $6,450 of interest on the installment note. The interest is payable on the date of the next installment note payment.
31.	Paid the semiannual interest on the bonds. The bond discount amortization of $23,291 is combined with the semiannual interest payment.
Year 2
June 30.	Paid the semiannual interest on the bonds. The bond discount amortization of $23,291 is combined with the semiannual interest payment.
Sept. 30.	Paid the annual payment on the note, which consisted of interest of $25,800 and principal of $32,623.
Dec. 31.	Accrued $5,961 of interest on the installment note. The interest is payable on the date of the next installment note payment.
31.	Paid the semiannual interest on the bonds. The bond discount amortization of $23,291 is combined with the semiannual interest payment.
Year 3
June 30.	Recorded the redemption of the bonds, which were called at 98. The balance in the bond discount account is $139,748 after payment of interest and amortization of discount have been recorded. Record the redemption only.
Sept. 30.	Paid the second annual payment on the note, which consisted of interest of $23,843 and principal of $34,580.

akeAssignment/takeAssignmentMain doinvoker=&takeAssignmentSessia ocatore progress false Entries for Bonds Payable and instaliment Note Transactions The following transactions were completed by Winklevont Inc. Whose fiscal year is the calendar year Year 1 July 1, Issued 36,180,000 of five-year, 10m culiable bonde doted XY 3, Year 1 ota mariat (effective rate of 114, Peceding che $5,947,088. Interest is payable semiannually on December 31 and June 30 Oct. 1. Borrowed 5430,000 by issuing a 10-year, 6% instaliment note to Nicks Bank. The not requires annual payments of $58.43 first payment occurring on September 30, Year 2 Dec. 31. Accrued $6,450 of interest on the instalment note. The interest le payable on the date of the next installment note permane 31. Paid the semiannual interest on the bonds. The bond discount amortization of $23,291 combined with the same terest payment Year 2 June 30. Paid the semiannual interest on the bonds. The bond discount amortization of $22.291 combined with these terest payment Sept: 30. Paid the annual payment on the note, which consisted of interest of $25,800 and cool of 532.623 Dec. 31. Accrued $5.961 of interest on the installment note. The interest is payable on the date of the next to me 31. Paid the semiannual interest on the bonds. The bond discount amortization of $23.291 combined with the payment Year June 30. Recorded the redemption of the bonds, which were called at 58. The balance in the band contact 5139,74 mento interest and amortization of discount have been recorded. Record the redemption oly Sept. 30. Paid the second annual payment on the note, which consisted of interest of Sand precio $4.500 Required: MacBook Air Required: Round all amounts to the nearest dollar. 1. Joumalize the entries to record the foregoing transactions. If an amount box does not require an entry, leave it blank Date Account Debit Credit Year 1 |July loct. Dec. 31-Note Dec. 31-Bond Year 2 June 30 MacBook Air 20 F7 10 $ 4 % 5 3 & 7 6 ) 0 8 9 June 30 Sept. 30 Dec, 31-Note Dec 31-Bood Year Sune 30 Seot 30 MacBook Air 80 59 888 * # 3 % 5 4 & 7 6 8 9 0 E R T Y U 0 Dec. 31-Bond Year 3 June 30 Sept. 30 2. Indicate the amount of the Interest expense in (a) Year 1 and (b) Year 2. 2. Year 1 b. Year 2 3. Determine the carrying amount of the bonds as of December 31, Year 2. MacBook Air 30 200 OF6 es FB F7 50 $ * % 5 & 7 A 8 0