Question: Apex, Corp., issued 14%, five-year bonds payable with a maturity value of $45,000 at a price of $44,100 on January 1, 2012. Journalize the following

Apex, Corp., issued 14%, five-year bonds payable with a maturity value of $45,000 at a price of $44,100 on January 1, 2012. Journalize the following transactions for Apex, Corp. Include an explanation for each entry.

a. Issuance of the bond payable on January 1 , 2012.

b. Payment of semiannual interest and amortization of bond discount on July 1, 2012. (Use the straight-line method to amortize the discount.)

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