Current Attempt in Progress On August 1, 2025, Indigo Corporation issued $504,000, 8%, 10-year bonds at face value. Interest is payable annually on August 1. Indigo's year-end is December 31. (a) Your answer is correct. Prepare the journal entry to record the issuance of the bonds. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Aug. 1, 2025 Account Titles and Explanation Cash Bonds Payable eTextbook and Media List of Accounts Debit 504,000 Credit 504,000

On August 1,2025, Indigo Corporation issued $504,000,8%,10-year bonds at face value. Interest is payable annually on August 1 . Indigo's year-end is December 31 . (a) Prepare the journal entry to record the issuance of the bonds. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the omounts.) Prepare the journal entry to record the payment of interest on August 1, 2026. (List all debit entries before credit entries, Credit occount titles are outomatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)