Issuing bonds at a discount On the first day of the fiscal year, a company issues a $1,900,000, 11%, 7-year bond that pays semiannual interest of $104,500 ($1,900,000 11% ), receiving cash of $1,811,696.

Journalize the bond issuance. If an amount box does not require an entry, leave it blank.

Cash

Discount on Bonds Payable

Premium on Bonds Payable Premium