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  3. on january 1, 2021, white water issues $400,000 of

On January 1, 2021, White Water issues $400,000 of 5% bonds, due in 15 years,...

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Accounting

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On January 1, 2021, White Water issues $400,000 of 5% bonds, due in 15 years, with interest payable semiannually on June 30 and December 31 each year. Required: Assuming the market interest rate on the issue date is 5%, the bonds will issue at $400,000. Record the bond issue on January 1, 2021, and the first two semiannual interest payments on June 30, 2021, and December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) X Answer is complete but not entirely correct. No Date General Journal Debit Credit 1 400,000 January 01, 2021 Cash nds Payable 400,000 2 June 30, 2021 Interest Expense 10,000 Cash 10,000 3 December 31, 202 Interest Expense 12,000 X Cash 12,000

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