Jan. 1 Cash 1,062,060.00 Premium on Bonds Payable 62,060.00 Bonds Payable 1,000,000.00 Jun. 30 Interest Expense 19,397.00 Premium on Bonds Payable 3,103.00 22,500.00 Jul 1 Cash 1,921,280.00 Discount on Bonds Payable 78,720.00 Bonds Payable 2,000,000.00 10 Oct. 1 Cash 1100,000.00 Notes Payable 1,100,000.00 Dec 31 Interest Expense 19,397.00 12 Premium on Bonds Payable 3,103.00 14 22,500.00 15 31 Interest Expense 16,500.00 16 Interest Payable 16,500.00 17 31 Interest Expense 41,560.00 Discount on Bonds Payable 6,560.00 19 35,000.00 20 31 Income Summary 96,854.00 Interest Expense 96,854.00