During 1999, Kenan Corporation had the following transactions relating to long-term liabilities:

Apr. 1 Purchased a machine costing $\$ 200,000$ from Perry Corporation. Issued a 2-year, interest-bearing note with interest payable on April 1 of each year The note matures on April 1,2001, and carries an interest rate of 9 percent.

July 1 Borrowed $\$ 30,000$ from Northern National Bank. The terms of the note require semiannual payments of interest on December 31 and June 30. The note matures in two years and carries an interest rate of 8 percent.

Accounting for a Mortgage Lease Accounting Insurance Price of Bonds Required:

1. Prepare the journal entries made on April 1 and July 1 to record the issuance of these two notes.

2. Prepare the adjusting entries made on December 31, 1999.

3. Prepare all journal entries made during 2000.