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Shamrock Co. is building a new hockey arena at a cost of $2,620,000. It received...

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Accounting

Shamrock Co. is building a new hockey arena at a cost of $2,620,000. It received a downpayment of $450,000 from local businesses to support the project, and now needs to borrow $2,170,000 to complete the project. It therefore decides to issue $2,170,000 of 10.0%,10-year bonds. These bonds were issued on January 1,2024, and pay interest annually on each January 1. The bonds yield 9%.
Assume that on July 1,2027, Shamrock Co. redeems half of the bonds at a cost of $1,146,600 plus accrued interest. Prepare the journal entry to record this redemption. (Round present value factor to 5 decimal places, e.g.1.24356 and final answers to 0 decimal places, e..38,548. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.)
Date Account Titles and Explanation
July 1,
2027
July 1,
2027
(To record interest)
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