Bonds Payable-Issued Between Interest Dates
Barney Corporation Received Authorization on December

Bonds payable-issued between interest dates
Barney Corporation received authorization on December 31, Year 1, to issue $2,500,000 of 6%, 10-year bonds. The interest payment dates are June 30 and December 31. All the bonds were issued at a price of 100, plus accrued interest, on February 28, Year 2, two months after the authorization of the bond issue.
(d) Prepare the journal entry at February 28, Year 2, to record the issuance of the bonds.
(e) Prepare the journal entry at June 30, Year 2 to record the first semiannual interest payment on the bonds.
$$\begin{array} { | l | l | l | } \hline \text { (a) } & \text { The amount of cash received by Barney } & \\\hline & \text { Corporation from issuance of the bonds on } & \\\hline & \text { February 28, Year 2, is: } & \$\underline{\quad\quad} \\\hline \text { (b) } & \text { The amount of cash paid to bondholders on } & \\\hline & \text { June 30, Year 2, is: } & \$\underline{\quad\quad} \\\hline \text { (c) } & \text { Bond interest expense reported in } & \\\hline & \text { Barney 's year 2 income statement is: } & \$\underline{\quad\quad} \\ \hline\end{array}$$