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On January 1, 2021, Blue Corporation issued $930,000, 7%, 5-year bonds dated January 1, 2021, to yield 8%. The bonds pay semi-annual interest on January 1 and July 1. The company has a December 31 year end. Click here to view the factor table. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.)

(a)

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Calculate the selling price of the bond. (Round answer to the nearest thousand dollar, e.g. $1,000.)

Selling price of the bond

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(b)

Prepare all the journal entries that Blue Corporation would make related to this bond issue from issue date through to January 1, 2022. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Record journal entries in the order presented in the problem.)

Date	Account Titles and Explanation	Debit	Credit
January 1, 2021July 1, 2021December 31, 2021January 1, 2022
January 1, 2021July 1, 2021December 31, 2021January 1, 2022
January 1, 2021July 1, 2021December 31, 2021January 1, 2022
January 1, 2021July 1, 2021December 31, 2021January 1, 2022

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