6 On January 1, 2018, Surreal Manufacturing issued 580 bonds, each with a face value of $1,000, a stated interest rate of 3 percent paid annually on December 31, and a maturity date of December 31, 2020. On the issue date, the market interest rate was 4 percent, so the total proceeds from the bond issue were $563,907. Surreal uses the simplified effective interest bond amortization method and adjusts for any rounding errors when recording interest in the final year. 5 nts Required: 1. Prepare a bond amortization schedule. 2-5. Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 2020, at a price of 101. Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 5 Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 2020, at a price of 101. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar.) Show less No Date General Journal Credit 1 Jan 01, 2018 Cash Debit 563.907 16,093 x X Discount on Bonds Payable Bonds Payable, Net 580.000 X 2 Dec 31, 2018 22.556 Interest Expense Cash Discount on Bonds Payable 17.400 5.156 x 3 Dec 31, 2019 22.763 Interest Expense Cash Discount on Bonds Payable 17.400 5.363 X 4 Dec 31, 2020 Interest Expense Bonds Payable, Net Cash Discount on Bonds Payable OOOOO 5 Jan 01, 2020 580,000 11,374 Bonds Payable, Net Loss on Bond Retirement Discount on Bonds Payable Cash X 585,000 X 5,574