Issuance of the bonds-first semiannual interest


NHS Co. issued $350,000 of 10-year bonds payable on January 1. NHS pays interest each January 1 and July 1 and amortizes any discount or premium by the straight-line method. NHS issued the bonds at a price of $430,000 when the market rate was below 5%.

Required:

Journalize NHS's issuance of the bonds and first semiannual interest payment. Explanations are not required.

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Finance Basics: Issuance of the bonds-first semiannual interest
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