On January 1,2013,a Company Issued 10%,10-Year Bonds Payable with a Par

On January 1,2013,a company issued 10%,10-year bonds payable with a par value of $720,000.The bonds pay interest each July 1 and January 1.The bonds were sold for $817,860 cash,which provides the holders an annual yield of 8%.Prepare the issuer's general journal entry to record the first semiannual interest payment assuming the effective interest method is used.

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Cash payment: $720,000 x 0.10 ...

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