5) On January 1, 2014, Frog Corporation sold a $2,150,000, 10 percent bond issue (10 percent market rate). The bonds were dated January 1, 2014, pay interest each June 30 and December 31, and mature in 5 years.

a)Prepare the journal entry to record the issuance of the bonds.

MBTA Corporation issued bonds and received cash in full for the issue price. The bonds were dated and issued on January 1, 2014. The stated interest rate was payable at the end of each year. The bonds mature at the end of four years. The following schedule has been completed (amounts in thousands):

6)

Date	Cash		Interest		Amortization				Balance
January 1, 2014										$	49,028
End of Year 2014	$	3,660	$	3,426		$	234				48,794
End of Year 2015		3,660		?			?				48,550
End of Year 2016		3,660		?			?				?
End of Year 2017		3,660		?			?				48,000

Complete the amortization schedule.