Walker SE issued $2,000,000$ of $10\%,10-$year bonds on January $1,2022,$ at $103.$ Interest is payable semiannually on July $1$ and January $1.$ Assume an effective yield of $9\mathrm{.}5281\%.$

Prepare the journal entries to record the following. $($Round to the nearest dollar.$)($Credit account titles are automatically indented when the 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.$)$

$($a$)$ The issuance of the bonds.

$($b$)$ The payment of interest and related amortization on July $1,2022.$

$($c$)$ The accrual of interest and the related amortization on December $31,2022.$

Date

Account Titles and Explanation

Debit

Credit

$1,2022$

Cash

$2060000$

Bonds Payable

Interest Expense

Premium on Bonds Payable

Cash

Interest Expense

Premium on Bonds Payable

Interest Payable

eTextbook and Media