On June 30, 20X1, Reagan Corporation Sold (Issued) a $1,000

On June 30, 20X1, Reagan Corporation sold (issued) a $1,000, ten-year, 8% bonds payable (interest payable each June 30 and December 31). For the three assumptions below, complete the following schedule assuming the accounting year ends December 31, and straight-line depreciation is used: $$\begin{array} { | l | l | l | l | l | } \hline { \text { Transaction } } & \begin{array} { l } \text { Sale @ 100 } \\\text { Assumption 1 }\end{array} & \begin{array} { l } \text { Sale @ 96 } \\\text { Assumption 2 }\end{array} & \begin{array} { l } \text { Sale @ 104 } \\\text { Assumption 3 }\end{array} \\\hline \text { a. } & \text { Cash received } & & & \\\hline \text { b. } & \text { Interest expense for 20X1 } & & & \\\hline \text { c. } & \begin{array} { l } \text { Net bond carrying value on } \\\text { the December 31, 20X2 } \\\text { balance sheet }\end{array} & & & \\\hline\end{array}$$