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Block Company issued a 20,000 10 year bond on 7/1/2008 when the market rate was 6.5%. Assume that the accounting year of Block Company ends on December. Journalize the following transactions.
a) Issuance of the bond on 7/1/2008
b) Accrual of the interest expense on 12/31/2008
c) payment of interest on 1/1/2009
d) payment of the bond at maturity
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