Question: E 1 0 . 1 4 ( LO 4 ) Tarawa Limited issued $ 1 million of 1 0 - year, 5 % bonds

"E10.14(LO 4) Tarawa Limited issued $1 million of 10-year, 5% bonds on January 1,2021, when the market interest rate was 6%. Tarawa received $925,617 when selling the bonds. Interest is payable semi-annually on July 1 and January 1. Tarawa has a December 31 year end.
Instructions
a. Record the issue of the bonds on January 1,2021.
b. Record the payment of interest on July 1,2021.
c. Record the accrual of interest on December 31,2021.
d. Record the payment of interest on January 1,2022.
"E10.14(LO 4) Tarawa Limited issued $1 million of 10-year, 5% bonds

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