Prepare the journal entries to record the interest payment


On July 1, 2008, B Corporation issued $20 million of 8.21%, twenty-year bonds. Interest on the bonds is paid semiannually on December 31 and June 30 of each year, and the bonds were issued when the market interest rate was 7.98%. Please round your answers to the nearest whole dollar.

Prepare the journal entries to record the interest payment on December 31, 2010.

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Accounting Basics: Prepare the journal entries to record the interest payment
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