Issuing Bonds at a Discount On the first day of the fiscal year, a company issues a $2,600,000, 8%, 8-year bond that pays semiannual interest of $104,000 ($2,600,000 x 8% x ), receiving cash of $2,453,957. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Cash Discount on Bonds Payable Bonds Payable Feedback Check My Work 0 2,453,957 x 0 0 2,600,000 Bonds Payable is always recorded at face value. Any difference in issue price is reflected in a premium or discount account.