Question: Free Response 1. (20 points) Below are transactions relating to the long-term issuance of bonds of Pitts Company. Prepa the necessary journal entries to record

Free Response 1. (20 points) Below are transactions relating to the long-term issuance of bonds of Pitts Company. Prepa the necessary journal entries to record the following transactions. Also prepare the amortiz table for the first year ONLY. Round numbers to the nearest dollar. a. January 1, 2021 Pitts Company issues $800,000 face value, 10% coupon-rate bonds. Interest is semiannually on June 30 and December 31 with the bonds maturing in 3 years. Th rate of interest is 8%. b. June 30, 2021 Pitts Co. makes its first interest payment. c. January 1, 2022 Pitts Co. retires all the bonds at 115. You do NOT need to journalize the sec payment on December 31, 2021

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