On January 1, 2018, Surreal Manufacturing issued 630 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 $612,519. Surreal uses the effective-interest bond amortization method and adjusts for any rounding errors when recording interest in the final year.

Required:

1. 1. Prepare a bond amortization schedule.

2. 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 101.

If someone could please help with the bond amortization schedule and journal entries. Thank you in advance.

Check my work PA10-7 (Supplement 10B) Recording Bond Issue, Interest Payments (Effective-Interest Amortization), and Early Bond Retirement [LO 10-S2] On January 1, 2018, Surreal Manufacturing issued 630 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 $612,519. 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 101. Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 5 Prepare a bond amortization schedule. (Round your answers to the nearest whole dollar. Make sure that the Carrying value equals face value of the bond in the last period. Interest expense in the last period will result in the amount in Discount Amortized equaling Discount on Bonds Payable.) Check my work nearest whole dollar amount.) Show less View transaction list 1 Record the issuance of 630 bonds at face value of $1,000 each for $612,519. 12,519. 2 Record the interest payment on December 31, 2018. 3 Record the interest payment on December 31, 2019. 4 Record the interest and face value payment on December 31, 2020. it Credit 5 Record the retirement of the bonds at a quoted price of 101, assuming the bonds are retired on January 1, 2020. Note : = journal entry has been entered Ch Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 to 5 Prepare a bond amortization schedule. (Round your answers to the nearest whole dollar. Make sure that the Carrying value equals face value of the bond in the last period. Interest expense in the last period will result in the amount in Discount Amortized equaling Discount on Bonds Payable.) Changes During the Period Interest Discount Cash Paid Amortized Expense Period Ended 01/01/18 12/31/18 Ending Bond Liability Balances Discount on Bonds Payable Bonds Payable Carrying Value $ 630,000 $ 630,000 630,000 630,000 630,000 630,000 630,000 0 630,000 12/31/19 18,900 18,900 18,900 18,900 18,900 18,900 12/31/20