Briscoe Company issued $ 700,000 par value, five- year, 4% bonds on April 30, 2016. The bonds are dated January 1, 2016, and pay interest semiannually on June 30 and December 31. The bonds are sold at $ 703,455, including accrued interest, because the bonds are sold between interest dates. Prepare the journal entries required to issue the bonds on April 30, 2016, and record the first interest payment on June 30, 2016. The market rate of interest on the date of sale of the bonds was 4.2%.