A $535,000 bond issue on which there is an unamortized discount of $38,000 is redeemed for $464,000. Journalize the redemption of the bonds.

If an amount box does not require an entry, leave it blank.

On the first day of the fiscal year, a company issues an $658,000, 9%, five-year bond that pays semiannual interest of $29,610 ($658,000 x 9% x 1/2), receiving cash of $618,500. Journalize the entry to record the first interest payment and the amortization of the related bond discount using the straight-line method.

If an amount box does not require an entry, leave it blank.