Issuing Bonds at a Discount On the first day of the fiscal year, a company issues a $1,700,000, 9%, 5-year bond that pays semiannual interest of $76,500 ($1,700,000 9% 12), receiving cash of $1,634,366. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Interest Expense Discount on Bonds Payable Cash 76,500