Me How Issuing Bonds at a Premium On the first day of the fiscal year, a company issues an $7,500,000, 8%, five-year bond that pays semiannual interest of $300,000 ($7,500,000 x 8% * V2), receiving cash of $7,740,000. Journalize the bond issuance. If an amount box does not require an entry, leave it blank. Accounts Payable Discount on Bonds Payable Cash Interest Expense Interest Payable Premium on Bonds Payable