Yale Corporation issued to Zap Corporation $84,000, 8% (cash interest payable semiannually on June 30 and December 31) 10-year bonds dated and sold on January 1. Assume that the company uses the effective interest amortization method and bond issuance costs are $2,100. If the bonds were sold to yield 9%, provide journal entries to be made at each of the following dates. a. January 1, for issuance of bonds. b. June 30, for the first interest payment. Note: Round your answer to the nearest whole dollar.

Date	Account Name	Dr.	Cr.
a. Jan. 1	CashInventoryEquipmentLandDeferred RevenueBonds PayableDiscount on Bonds PayableDiscount and Debt Issuance CostsPremium on Bonds PayableFair Value AdjustmentBonds PayableNote PayableDiscount on Note PayablePremium on Note PayableFair Value AdjustmentNote PayableInterest PayableCommon StockPaid-in Capital in Excess of ParCommon StockPaid-in CapitalStock WarrantsRetained EarningsPrior Period AdjustmentDebt Conversion ExpenseInterest ExpenseLoss on Redemption of BondsGain on Redemption of BondsUnrealized Gain or LossIncomeUnrealized Gain or LossOCI
	CashInventoryEquipmentLandDeferred RevenueBonds PayableDiscount on Bonds PayableDiscount and Debt Issuance CostsPremium on Bonds PayableFair Value AdjustmentBonds PayableNote PayableDiscount on Note PayablePremium on Note PayableFair Value AdjustmentNote PayableInterest PayableCommon StockPaid-in Capital in Excess of ParCommon StockPaid-in CapitalStock WarrantsRetained EarningsPrior Period AdjustmentDebt Conversion ExpenseInterest ExpenseLoss on Redemption of BondsGain on Redemption of BondsUnrealized Gain or LossIncomeUnrealized Gain or LossOCI
	CashInventoryEquipmentLandDeferred RevenueBonds PayableDiscount on Bonds PayableDiscount and Debt Issuance CostsPremium on Bonds PayableFair Value AdjustmentBonds PayableNote PayableDiscount on Note PayablePremium on Note PayableFair Value AdjustmentNote PayableInterest PayableCommon StockPaid-in Capital in Excess of ParCommon StockPaid-in CapitalStock WarrantsRetained EarningsPrior Period AdjustmentDebt Conversion ExpenseInterest ExpenseLoss on Redemption of BondsGain on Redemption of BondsUnrealized Gain or LossIncomeUnrealized Gain or LossOCI
	To record bond issuance.
b. June 30	CashInventoryEquipmentLandDeferred RevenueBonds PayableDiscount on Bonds PayableDiscount and Debt Issuance CostsPremium on Bonds PayableFair Value AdjustmentBonds PayableNote PayableDiscount on Note PayablePremium on Note PayableFair Value AdjustmentNote PayableInterest PayableCommon StockPaid-in Capital in Excess of ParCommon StockPaid-in CapitalStock WarrantsRetained EarningsPrior Period AdjustmentDebt Conversion ExpenseInterest ExpenseLoss on Redemption of BondsGain on Redemption of BondsUnrealized Gain or LossIncomeUnrealized Gain or LossOCI
	CashInventoryEquipmentLandDeferred RevenueBonds PayableDiscount on Bonds PayableDiscount and Debt Issuance CostsPremium on Bonds PayableFair Value AdjustmentBonds PayableNote PayableDiscount on Note PayablePremium on Note PayableFair Value AdjustmentNote PayableInterest PayableCommon StockPaid-in Capital in Excess of ParCommon StockPaid-in CapitalStock WarrantsRetained EarningsPrior Period AdjustmentDebt Conversion ExpenseInterest ExpenseLoss on Redemption of BondsGain on Redemption of BondsUnrealized Gain or LossIncomeUnrealized Gain or LossOCI
	CashInventoryEquipmentLandDeferred RevenueBonds PayableDiscount on Bonds PayableDiscount and Debt Issuance CostsPremium on Bonds PayableFair Value AdjustmentBonds PayableNote PayableDiscount on Note PayablePremium on Note PayableFair Value AdjustmentNote PayableInterest PayableCommon StockPaid-in Capital in Excess of ParCommon StockPaid-in CapitalStock WarrantsRetained EarningsPrior Period AdjustmentDebt Conversion ExpenseInterest ExpenseLoss on Redemption of BondsGain on Redemption of BondsUnrealized Gain or LossIncomeUnrealized Gain or LossOCI
	To record interest payment.