07. On the first day of the current fiscal year, $2,000,000 of 0-year, 7% bonds, with interest payable annually, were sold for $2,125,000. Present entries to record the following transactions for the current fiscal year (a) Issuance of the bonds. (b) First annual interest payment (record as separate entry from premium amortization) Amortization of bond premium for the year, using the straight-line (c) method of amortization. 08. Luke Corp. issued $2,000,000 of 20 year, 9% callable bonds on July 1. Year 1, with interest payable on June 30 and December 31. The fiscal year of the company is the calendar year. Journalize the entries to record the following selected transactions