eBook Bond Discount, Entries for Bonds Payable Transactions, Interest Method of Amortizing Bond Discount On July 1, 2041, Livingston Corporation, a wholesaler of manufacturing equipment, issued $68,000,000 of 20-year, 11% bonds at a market (effective) Interest rate of 14%, receiving cash of $54,404,080. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year, Required: For all journal entries, If an amount box does not require an entry, leave it blank, 1. Journalize the entry to record the amount of cash proceeds from the issuance of the bonds. 2011 July 1