eBook Show Me How Print item On January 1, the first day of the fiscal year, Designer Fabric Inc. issues a $400,000, 8%, 10-year bond that pays semiannual interest of $16,000 ($400,000 x 8% x year), receiving cash of $400,000 (a) Journalize the entry to record the issuance of the bonds. If an amount box does not require an entry, leave it blank Cash Bonds Payable Feedback Check My Word Bonds payable is always recorded at face value. (b) Journalize the entry to record the first interest payment on June 30. If an amount box does not require an entry, leave it blank Interest Expense Cash Foodbace Check My Work Interest payments are always recorded as Interest Expense. (c) Journalize the entry to record the payment of the principal on the maturity date. If an amount box does not require an entry, leave it blank. Bonds Payable Cash ( Previous Previous Next >