) Windsor Co. sold $1,940,000 of 10%, 10-year bonds at 104 on January 1, 2017. The bonds were dated January 1, 2017, and pay interest on July 1 and January 1. If Windsor uses the straight-line method to amortize bond premium or discount, determine the amount of interest expense to be reported on July 1, 2017, and December 31, 2017.

Sheridan Inc. issued $590,000 of 9%, 10-year bonds on June 30, 2017, for $553,237. This price provided a yield of 10% on the bonds. Interest is payable semiannually on December 31 and June 30. If Sheridan uses the effective-interest method, determine the amount of interest expense to record if financial statements are issued on October 31, 2017.