Bond issued at Face value, discount and premium Bond issued at Face value Ex 2. Katakis Corporation issues $500,000 of 6 percent, five-year bonds on January 1, 2015, and sells them on the same date for their face value. The bond indenture (contract) states that interest is to be paid on January 1 and July 1 of each year. 1) Record the issuance of the bond at face value 2) Record the first interest payment on 7/1/15