1 Back to 22/11-28/11 Question 8 Not yet answered Marked out of 200 On January 1 2018 Oman Cables Industry (SAOG) issued 12% bonds dated January 1 2018, with a principal amount of OR20 million The bonds mature in 2027 (10 years). For bonds of similar nsk and maturity, the market yield is 10% Interest is paid semiannually on June 30 and December 31 Note to determine the price of bonds, you should use tables (2) present value of $1 and (4) present value of an ordinary annuity of 1 to find the appropriate PV factors to calculate the interest and principal Flag Question The appropriate journal entry to record interest on June 30, 2018. using the effective Interest method is Select one O a Interest expense Premium on bonds payable Dash 1,102,009 97 991 1 200,00 1.200,000 Ob Interest expense 1 124 523 Premium on bonds payable 75 377 Cash O e Interest expense 1 275,377 Discount on bonds payable Cash od Interest expense 1128,391 Premium on bonds payable 71 609 Cash 75 377 1.200,000 1200,000