On January 1, 2021, Surreal Manufacturing issued 540 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, 2023. On the issue date, the market interest rate was 4 percent, so the total proceeds from the bond issue were $525,017 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, 2021 and 2022, the interest and face value payment on December 31, 2023 and the bond retirement. Assume the bonds are retired on January 1, 2023, at a price of 102 Complete this question by entering your answers in the tabs below. Req 1 Red 2 to 5 Prepare a bond amortization schedule. (Round your answers to the nearest whole dollar. Make sure that the Canying 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.) Ending Bond Liability Balances Changes During the Period Period Ended Interest Cash Paid Expense Discount Amortized Bonds Payable Discount on Bonds Payable Carrying Value 01/01/211 $ 540.000 5 14,983 $ 525.017 12/31/21 $ 21.600 $ 21.600 540,000 540,000 12/31/22 21.600 21,600 640,000 540,000 12/31/23 0 540,000 540,000 Req 2 to 5 >