Back to 22/11 28/11 Question 7 Not yet wted Marked out at 200 On January 1, 2018 Oman Cables industry (SAOG) issued 12% bonds dated January 1 2018 with a principal amount of OR20 million The bonds mature in 2027 (10 years) For bands of similar risk and maturity, the market yield is 10% Interest is paid semiannually on June 30 and December 31 Note: To determine the price of bonds, you should use tables (2) present value of $1 and (4) present value of an ordinary annuity of$1 to find the appropriate PV factors to calculate the interest and principal. Flag guestion The appropriate journal entry to record interest on December 31, 2018 using the effective interest method Select one a Interest expense Premium on bonds payable Cash 1.120,854 79,146 1 200 000 1.200.000 ob Interest experise 1 102 009 Premium on bonds payable 97,991 Cash O e Interest expense 1 200,000 Discount on bonds payable Cash Od interest expense 1 1242 623 Premium on bonds payable 75,377 Sash 79 146 10120 854 1.200 000