On January 1, 2025, Martinez Company issued $1,800,000 face value, 7%, 10-year bonds at $1,932,482. This price resulted in a 6% effective-interest rate on the bonds. Martinez uses the effective-interest method to amortize bond premium or discount. The bonds pay annual interest on each January 1. (a) Your answer is correct. Prepare the journal entries to record the following transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round answers to 0 decimal places, e.g. 125.) 1. The issuance of the bonds on January 1, 2025. 2. Accrual of interest and amortization of the premium on December 31, 2025. 3. The payment of interest on January 1, 2026. 4. Accrual of interest and amortization of the premium on December 31, 2026. count Titles and Explanation Cash Bonds Payable Premium on Bonds Payable nterest Expense Debit Credit 1932482 115,948.92 'remium on Bonds Payable 10,051.08 Interest Payable nterest Payable Cash 1800000 132,482 126,000 126,000 nterest Expense 115,345.86 'remium on Bonds Payable 10,654.14 Interest Payable 126,000 126,000