On December 31, 1993, Rocky Mountain Railroad sold a $10 million, 10%/4 %, 20-Year bonds issue to an underwriter at a price of 102 (it is percentage while face value is $1000/bond). This price results in an effective annual interest rate of 10%. The bonds were dated December 31, and the interest payment date was December 31. Rocky Mountain Railroad follows a policy of amortizing the bond premium by Straight Line Method at each annual payment method. a) Prepare an amortization table for 20 years of the life of this bond. Round all amount to the nearest dollar and use the following column headings: (10 Marks) Period (Yearly) Interest Paid Annually Effective Annual Expense Premium Amortization Bond Premium Balance Carrying value of the bonds b) Using the information in your amortization table, prepare all journal entries necessary to record the issuance of the bond in 1993 and bond interest expense during 1994.(5 Marks) c) Show the proper balance sheet presentation of the liability of bond payable at December 31, 1995