On January 1, 20X1, Bottle Rocket Company issued $600,000 in long-term bonds. The bonds will mature in five years and have a stated interest rate of 8% and a yield rate of 10%. The bonds pay interest semiannually on June 30 and Dec. 31 of each year. The bonds are to be accounted for under the effective-interest method. Instructions (a) Calculate the issue price of the bond. YOU MUST SHOW YOUR WORK TO RECEIVE FULL CREDIT. (b) Construct a bond amortization table for this problem to indicate the amount of interest expense and discount amortization at each interest payment date. Include only the first two years. In columns D and E, circle the correct term, Premium or Discount. Round to the nearest dollar. A Beginning Carrying Value B C Date 1/1/X1 N/A Interest Expense N/A Cash Interest Payment D Discount or Premium Amortization E Discount or Premium on Bonds F Ending Carrying Value N/A N/A 6/30/X1 12/31/X1 6/30/X2 12/31/X2 (c) Prepare the journal entries that will be made on January 1, 20X1, December 31, 20X1 and on June 30, 20X2. DATE ACCOUNT TITLE DEBIT CREDIT