Long-term Liabilities:

Bonds Payable $400,000

Less: Discount on Bonds Payable $80,000 $320,000

George's Hamburgers issued 8%,10-year bonds payable at 75 on December 31,2016 . At December 31,2018, George reported the bonds payable as follows: (Click the icon to view the bonds payable.) George's pavs semiannualinterest each June 30 and December 31 . (Assume bonds pavable are amortized using Requirements 1. Answer the following questions about George's bonds payable: a. What is the maturity value of the bonds? b. What is the carrying amount of the bonds at December 31,2018? c. What is the semiannual cash interest payment on the bonds? d. How much interest expense should the company record each year? 2. Record the June 30,2018 , semiannual interest payment and amortization of the discount