Wishful Thinking (WT) School of Management is building a new facility on a piece of donated land. It received a generous cash donation from a local business to support the project, and now needs to borrow additional $12,000,000 to complete the project. Therefore WT School of Management issued $12,000,000 of 7.00% 8?year bonds. These bonds were issued on January 1, 2015, and pay interest annually on each January 1. The bond yield is 9.00%. WT School of Management incurred $480,000 in bond issue costs related to the bond sale.

(c) Assume that on July 1, 2018, WT School of Management retires 60% of the bonds at a cost of $7,200,000 plus accrued interest. Prepare journal entries to record this retirement (10 points, show your work).

FOLLOWING IS THE ANSWER. PLEASE JUST SHOW ME THE WORK TO GET TO THIS ANSWER

Entry for accrued interest (4 points) Interest Expense 298,797 (2pt) Discount on Bonds Payable Cash 46,797 (1pt) 252,000 (1pt) Entry for reacquisition (6 points) Bonds Payable Loss on Redemption of Bonds 7,200,000 (1pt) 675,278 (1pt) Discount on Bonds Payable Unamortized Bond Issue Costs Cash 513,278 (1pt) 162,000 (2pt) 7,200,000 (1pt) it