When companies offer new debt security issues, they publicize the offerings in the financial press and on Internet sites. Assume the following were among the debt offerings reported in December 2021:

New Securities Issues

Corporate

National Equipment Transfer Corporation$214 million bonds via lead managers Second Tennessee Bank N.A. and Morgan, Dunavant & Co., according to a syndicate official. Terms: maturity, Dec. 15, 2030; coupon 7.6%; issue price, par; yield, 7.6%; noncallable; debt ratings: Ba-1 (Moody's Investors Service, Inc.), BBB+ (Standard & Poor's).

IgWig Inc.$364 million of notes via lead manager Stanley Brothers, Inc., according to a syndicate official. Terms: maturity, Dec. 1, 2032; coupon, 6.6%; Issue price, 99; yield, 6.7%; call date, NC; debt ratings: Baa-1 (Moody's Investors Service, Inc.), A (Standard & Poor's).

Required: 1. Prepare the appropriate journal entries to record the sale of both issues to underwriters. Ignore share issue costs and assume no accrued interest. 2. Prepare the appropriate journal entries to record the first semiannual interest payment for both issues.