13. Review the following three bonds payable assumptions: (Click the icon to view the bond assumptions.) Journalize issuance of the bond and the first semiannual interest payment under each of the three assumptions. The company amortizes bond premium and discount by the effective interest amortization method. Explanations are not required. (Record debits first, then credits. Exclude explanations from any journal entries. Round your final answers to the nearest whole dollar.) Assumption 1. Seven-year bonds payable with face value of $85,000 and stated interest rate of 12%, paid semiannually. The market rate of interest is 12% at issuance. The present value of the bonds at issuance is $85,000. Journalize the issuance of the bonds when the market interest rate is 12%. Date Accounts Debit Credit (1) (2) (3) (4) Journalize the first semiannual interest payment on the bonds. Date Accounts Debit Credit (5) (6) (7) (8) Assumption 2. Same bonds payable as in assumption 1, but the market interest rate is 16%. The present value of the bonds at issuance is $70,944. Journalize the issuance of the bonds when the market interest rate is 16%. Date Accounts Debit Credit (9) (10) (11) (12) Journalize the first semiannual interest payment on the bonds. Date Accounts Debit Credit (13) (14) (15) (16) Assumption 3. Same bonds payable as in assumption 1, but the market interest rate is 10%. The present value of the bonds at issuance is $93,410. Journalize the issuance of the bonds when the market interest rate is 10%. Date Accounts Debit Credit (17) (18) (19) (20) Journalize the first semiannual interest payment on the bonds. Date Accounts Debit Credit (21) (22) (23) (24) 1: More Info 1. Seven-year bonds payable with face value of $85,000 and stated interest rate of 12%, paid semiannually. The market rate of interest is 12% at issuance. The present value of the bonds at issuance is $85,000. 2. Same bonds payable as in assumption 1, but the market interest rate is 16%. The present value of the bonds at issuance is $70,944. 3. Same bonds payable as in assumption 1, but the market interest rate is 10%. The present value of the bonds at issuance is $93,410. (1) O Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash O Discount on Bonds Payable (2) O Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash O Discount on Bonds Payable (3) O Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash O Discount on Bonds Payable (4) O Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash O Discount on Bonds Payable (5) Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash O Discount on Bonds Payable (6) Interest Expense Premium on Bonds Payable OOOO Bonds Payable O Cash O Discount on Bonds Payable (7) O Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash Discount on Bonds Payable (8) O Interest Expense Premium on Bonds Payable Bonds Payable O Cash O Discount on Bonds Payable OOOO OOOO (9) O Interest Expense O Premium on Bonds Payable Bonds Payable O Cash O Discount on Bonds Payable Interest Expense Premium on Bonds Payable (10) O O Bonds Payable O Cash O Discount on Bonds Payable Interest Expense Premium on Bonds Payable (11) O Bonds Payable O Cash O Discount on Bonds Payable OO O Interest Expense Premium on Bonds Payable (12) a Bonds Payable O Cash Discount on Bonds Payable OOOO OO Interest Expense Premium on Bonds Payable (13) a Bonds Payable O Cash Discount on Bonds Payable OOOO OOOO OO O Interest Expense Premium on Bonds Payable (14) O Bonds Payable O Cash Discount on Bonds Payable Interest Expense O Premium on Bonds Payable (15) O Bonds Payable Cash O Discount on Bonds Payable OO Interest Expense O Premium on Bonds Payable (16) O O Bonds Payable O Cash O Discount on Bonds Payable (17) OO Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash O Discount on Bonds Payable (18) OO O Interest Expense Premium on Bonds Payable O Bonds Payable O Cash Discount on Bonds Payable OOOO OOOO (19) Interest Expense O Premium on Bonds Payable O Bonds Payable O Cash Discount on Bonds Payable (20) Interest Expense O Premium on Bonds Payable OOOO O Bonds Payable O Cash Discount on Bonds Payable O Interest Expense O Premium on Bonds Payable (21) O Bonds Payable Cash O Discount on Bonds Payable Interest Expense O Premium on Bonds Payable (22) a Bonds Payable Cash O Discount on Bonds Payable O Interest Expense O Premium on Bonds Payable (23) O Bonds Payable Cash O Discount on Bonds Payable O Interest Expense O Premium on Bonds Payable (24) O O Bonds Payable O Cash O Discount on Bonds Payable