Keystone Corporation issued 1,000, \(9 \%, 5\)-year, \(\$ 1,000\) bonds dated January 1, 1996, at 100.

(a) Prepare the journal entry to record the sale of these bonds on January 1, 1996.

(b) Prepare the journal entry to record the first interest payment on July 1, 1996 (interest payable semiannually), assuming no previous accrual of interest.

(c) Prepare the adjusting journal entry on December 31, 1996, to record interest expense.