Ike issues $180,000 of 11%, three-year bonds dated January 1, 2019, that pay interest semiannually on June 30 and December 31. They are issued at $184,565. When the market rate is 10%.

A) Record the issue of bonds with a par value of $180,000 on January 1, 2019 at an issue price of $184,565.

Date	General Journal	Debit	Credit
January 01

B) Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life. Amount repaid:

_____ payments of ______

Par value at maturity ________

Total repaid _______

Less amount borrowed _______

Total Bond Interest Expense $_______

C) Prepare an effective interest amortization table for the bonds' first two years.

Semiannual Interest Period-End	Cash Interest Paid	Bond Interest Expense	PremiumAmortization	UnamortizedPremium	CarryingValue
01/01/19
06/30/19
12/31/2019
06/30/20
12/31/20

D) i. Record the first interest payment on June 30.

ii. Record the second interest payment on December 31.