Cairns owns 70 percent of the voting stock of Hamilton, Inc. The parent's interest was acquired several years ago on the date that the subsidiary was formed. Consequently, no goodwill or other allocation was recorded in connection with the acquisition. Cairns uses the equity method in its internal records to account for its investment in Hamilton. On January 1, 2014, Hamilton sold $1,000,000 in 10-year bonds to the public at 115. The bonds had a cash interest rate of 8 percent payable every December 31. Cairns acquired 45 percent of these bonds at 88 percent of face value on January 1, 2016. Both companies utilize the straight-line method of amortization. Prepare the consolidation worksheet entries to recognize the effects of the intra-entity bonds at each of the following dates. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) a. December 31, 2016 b. December 31, 2017 c. December 31, 2018 view transaction list transaction list No Date Debit Credit December 31, Bonds payable 450,000 47,250 42,750 2016 Premium on bonds payable Interest income 402,750 29,250 Investment in bonds Interest expense Accounts December 31, Bonds payable 450,000 47,250 42,750 2016 Premium on bonds payable Interest income Investment in bonds Interest expense Gain on retirement of bonds 402,750 29,250 108,000 December 31, Bonds payable 450,000 0,500 42,750 2017 Premium on bonds payable Interest income Investment in bonds Interest expense Investment in Hamilton 409,500 29,250 94,500 December 31, Bonds payable Premium on bonds payable Interest income 450,000 33,750 42,750 416,250 29,250 Investment in bonds Interest expense