On January 1, 2018, Surreal Manufacturing issued 500 bonds, each with a face value of $1,000, a stated interest rate of 3 percent paid annually on December 31, and a maturity date of December 31, 2020. On the issue date, the market interest rate was 4 percent, so the total proceeds from the bond issue were $486,127. Surreal uses the effective interest bond amortization method and adjusts for any rounding errors when recording interest in the final year. Required: 1. Prepare a bond amortization schedule. 2-5. Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 2020, at a price of 103. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 5 Prepare the journal entries to record the bond issue, the interest payments on December 31, 2018 and 2019, the interest and face value payment on December 31, 2020 and the bond retirement. Assume the bonds are retired on January 1, 2020, at a price of 103. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Round your answers to the nearest whole dollar amount.) Show less No Date General Journal Debit Credit 1 Jan 01, 2018 Cash Discount on Bonds Payable Bonds Payable 486,127 13,873 500.000 2 Dec 31, 2018 Interest Expense 19,445 Cash Discount on Bonds Payable 15.000 4 445 3 Dec 31, 2019 Interest Expense 19,623 Cash Discount on Bonds Payable OO 15,000 4.623 4 Dec 31, 2020 Interest Expense Bonds Payable Cash Discount on Bonds Payable 19,808 500,000 515,000 4.808 OOOOOOOO 5 Jan 01, 2020 500,000 9.808 % Bonds Payable Loss on Bond Retirement Discount on Bonds Payable Cash 4.808 505,000