On January 1, 2017, Shay issues $340,000 of 11%, 12-year bonds at a price of 9725, Six years later, on January 1, 2023, Shay retires 20% of these bonds by buying them on the open market at 105.25. All interest is accounted for and paid through December 31, 2022, the day before the purchase. The straight-line method is used to amortize any bond discount. 1. How much does the company receive when it issues the bonds on January 1, 2017? Cash proceeds from sale of bonds at issuance 2. What is the amount of the discount on the bonds at January 1, 2017? Amount of discount 7. Prepare the journal entry to record the bond retirement at January 1, 2023