Exercise 10-8 (Algo) Straight-Line: Recording bond issuance and premium amortization LO P3 Wookie Company issues 6%, five-year bonds, on January 1 of this year, with a par value of $107,000 and semiannual interest payments. Semiannual Period-End (0) January 1 , issuance (1) June 30 , first payment (2) December 31, second payment Unamortized Premium $8,251 7,426 6,601 Carrying Value $115,251 114,426 113,601 Use the above straight-line bond amortization table and prepare journal entries for the following. (a) The issuance of bonds on January 1. (b) The first interest payment on June 30. (c) The second interest payment on December 31. No Date General Journal Credit 1 January 01 Cash 98,749 Discount on bonds payable 8,251 Bonds payable 107,000 4,035 2