On July $1,2025,$ Crane Corporation issued $$2,500,000$ of $9\%$ bonds payable in $20$ years. The bonds include detachable warrants giving

the bondholder the right to purchase for $$30$ one share of $$1$ par value common stock at any time during the next $10$ years. The bonds

were sold for $$2,500,000.$ The value of the warrants at the time of issuance was $$75,000.$

Prepare the journal entry to record this transaction. $($List all debit entries before credit entries. If no entry is required, select $"$No entry" for the

account titles and enter $0$ for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.$)$

Date

Account Titles and Explanation

Debit

Credit

July $1,2025$