Entries for issuing bonds and amortizing premlum by straight-line method Smiley Corporation wholesales repair products to equipment manufacturers. On April 1,20Y1,5miley issued $20,000,000 of 5 -year, 9% bonds at a market (effective) interest rate of 8%, recelving cash of $20,811,010. Interest is payable semiannually on April 1 and 0ctober1. 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 biank. b. Journailie the entry to record the first interest payment on October 1 , 20Y1, and amortization of bond premium for 6 months, using the straight-line method. If an amount box does not require an entry, leave it blank. c. Why was the company able to issue the bonds for $20,811,010 rather than for the face amount of $20,000,000 ? The market rate of interest is the contract rate of interest