On January 1, 2018, Bochini Corporation sold a $10 million, 8.25 percent bond issue. The bonds were dated January 1, 2018, had a yield of 8 percent, pay interest each December 31, and mature 10 years from the date of issue. Use Table 9C.1, Table 9C.2 Required: 1. Prepare the journal entry to record the issuance of the bonds. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round time value factor to 4 decimal places. Enter your answers in dollars not in millions rounded to the nearest whole dollar.) View transaction list Journal entry worksheet Record the issuance of bond at a premium. Note: Enter debits before credits. Debit Credit Date General Journal January 01, 2018 Cash Bonds payable Premium on bonds payable Record entry Clear entry View general journal 2. Prepare the journal entry to record the interest payment on December 31, 2018. Use effective-interest amortization. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round time value factor to 4 decimal places. Enter your answers in dollars not in millions rounded to the nearest whole dollar.) View transaction list Journal entry worksheet Record payment of annual interest and amortization of premium for 12 months Note: Enter debits before credits. Debit Credit Date General Journal December 31, 2018 Interest expense Premium on bonds payable Cash 825,000 Record entry Clear entry View general journal 3. Show how the bond interest expense and the bonds payable should be reported on the annual financial statements for 2018. (Enter your answers in dollars not in millions rounded to the nearest whole dollar.) BOCHINI CORPORATION Financial Statements For year ended December 31, 2018 Statement of earnings: ......................................... Statement of financial position Long-term liabilities: Bonds payable Plus: Unamortized premium 1 $ 10,000,000 $ 10,000,000