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On January 1, 2017, Gardner Corporation issued five-year, 10% bonds payable with a face value of $2,900,000. The bonds were issued at 90 and pay interest on January 1 and July 1. Gardner amortizes bond discount straight-line method. On December 31, 2019, Gardner retired the bonds early by purchasing them at a market price of 93. The company's fiscal year ends on December 31. Read the requirements! Requirement 1. Journalize the issuance of the bonds on January 1, 2017. (Record debits first, then credits. Exclude explanations from any joumal entries.) Journal Entry Date Accounts Debit Credit 2017 Jan 1 (1) (2) (3) 114) Requirement 2. Record the semiannual interest payment and amortization of bond discount on July 1, 2017. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit 2017 Jul 1 (5) (6) Requirement 3. Record the interest accrual and discount amortization on December 31, 2017. (Record debits first, then credits. Exclude explanations from any journal entries.) Journal Entry Date Accounts Debit Credit 2017 Dec 31 119) (10) (11) (12) Requirement 4. Calculate the carrying value of the bonds payable on December 31, 2019, prior to their retirement. The carrying value of the bonds payable on December 31, 2019, prior to their retirement is $ Requirement 5. Calculate the gain or loss on the retirement of the bonds payable on December 31, 2019. Indicate where this gain or loss will appear in the financial statements. Gardner Corporation will report a(n) $ |(13) as |(14) on the |(15)

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