Entries for Issuing Bonds and Amortizing Premium by Straight-Eine Method Smiley Corporation wholesales repair products to equipment manufacturers, On April 1, 20Y1, 5miley issued $7,500,000 of 10-year, 8% bonds at a market (effective) interest rate of 6%, receiving cash of $8,615,809. Interest is payable semiannually on April 1 and October 1. a. Journalize the entry to record the issuance of bonds on April 1, 20Y1. If an amount box does not require an entry, leave it blank b. Joumalize the entry to record the first interest payment on October 1,20Y1, and amortization of bond oremium for six months, using the straight-fine method, Round to the nearest dollar. If an amount box does not require an entry, leave it blank. c. Why was the company able to issue the bonds for $8,615,809 rather than for the face amount of $7,500,000 ? The market rate of interest is the controct rate of interest