On January 1, 2017, Blue Company purchased 10% bonds having a maturity value of $340,000, for $367,149.34. The bonds provide the bondholders with a 8% yield. They are dated January 1, 2017, and mature January 1, 2022, with interest receivable January 1 of each year. Blue Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified in the held-to-maturity category. 1: Prepare the journal entry at the date of the bond purchase. 2: Prepare a bond amortization schedule. 3: Prepare the journal entry to record the interest revenue and the amortization at December 31, 2017. 4: Prepare the journal entry to record the interest revenue and the amortization at December 31, 2018.