a. Journalize the entries to record the following:

1. Issuance of the bonds.
2. First semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual interest payment. (Round your answer to the nearest dollar.)
3. Second semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual interest payment. (Round your answer to the nearest dollar.)

For a compound transaction, if an amount box does not require an entry, leave it blank. Round your answers to the nearest dollar.

1.		fill in the blank cbb184fbdfc4047_2	fill in the blank cbb184fbdfc4047_3
		fill in the blank cbb184fbdfc4047_5	fill in the blank cbb184fbdfc4047_6
		fill in the blank cbb184fbdfc4047_8	fill in the blank cbb184fbdfc4047_9
2.		fill in the blank cbb184fbdfc4047_11	fill in the blank cbb184fbdfc4047_12
		fill in the blank cbb184fbdfc4047_14	fill in the blank cbb184fbdfc4047_15
		fill in the blank cbb184fbdfc4047_17	fill in the blank cbb184fbdfc4047_18
3.		fill in the blank cbb184fbdfc4047_20	fill in the blank cbb184fbdfc4047_21
		fill in the blank cbb184fbdfc4047_23	fill in the blank cbb184fbdfc4047_24
		fill in the blank cbb184fbdfc4047_26	fill in the blank cbb184fbdfc4047_27

b. Determine the amount of the bond interest expense for the first year. $fill in the blank 76280d074075f97_1

c. Why was the company able to issue the bonds for only $11,558,339 rather than for the face amount of $12,000,000? The market rate of interest is the contract rate of interest.