1. Myungsung Co., Ltd. face value of 1,000,000 won, face rate 10% (interest payment date is the end of each year), 10,000 The 3-year bond was issued on January 1, 2015. The market interest rate applied at the time of issuance It is 7%. [When calculating the present value, you can calculate it directly or use the coefficient tables below. Some singular differences may be ignored depending on the mountain method.]

[Reference 1] Current value coefficient table

Years, interest rate	6%	7%	8%	9%	10%
1	0.943	0.935	0.926	0.917	0.909
2	0.890	0.873	0.857	0.842	0.826
3	0.840	0.816	0.794	0.772	0.751
4	0.792	0.763	0.735	0.708	0.683
5	0.747	0.713	0.681	0.650	0.621

[Reference 2] Table of present value of pension

Years, interest rate	6%	7%	8%	9%	10%
1	0.943	0.935	0.926	0.917	0.909
2	1.833	1.808	1.783	1.759	1.736
3	2.673	2.624	2.577	2.531	2.487
4	3.465	3.387	3.312	3.240	3.170
5	4.212	4.100	3.993	3.890	3.791

• Question

1. Please provide the accounting treatment to be performed in connection with the issuance of bonds on January 1, 2015.
2. Calculate the amount of interest expense to be recognized in 2016 by Myungsung Co., Ltd. and provide the accounting treatment to be performed in connection with the calculation of interest expense on December 31, 2016.
3. On January 1, 2017, Myeongsung Co., Ltd. repaid the total amount of bonds early and paid the creditors 1,100,000 won. Please provide the accounting to be performed in this regard