On 31 December 20X7, a company has the following bond on the statement of financial position: Bond payable, 7%, interest due semi-annually on 31 Dec. and 30 June; maturity date, 30 June 20X11 $ 6,800,000 Premium on bonds payable 57,120 $ 6,857,120 On 28 February 20X8, 20% of the bond was retired for $1,496,000 plus accrued interest to 28 February. Interest was paid on this date only for the portion of the bonds that were retired. Premium amortization was recorded on this date in the amount of $540, representing amortization on the retired debt only.

Required: Provide the entries to record the bond interest on 28 February and the bond retirement.

- Record the entry to update the interest expense and amortization

- Record the entry to retire bonds