On January 1, a company issues bonds dated January 1 with o par value of $400,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid somonnually on June 30 and December 31. The market rate is 3% and the bonds are sold for $383,793. The journal entry to record the second interest payment using the offective interest method of amortization is Maple Choice Debit leterest Expense $12,648 28; debit Premium on Bloods Payable $135:72: credit Cash $14,000.00 Debit interest Payable $14,000.00, credit Cash $14,000.00 Debit interest Expense $12.648,28: debt Discount on Bands Payable $135172: credit Cash $14,000.00 Debit interest Expense 515,35172: crot Discount on fonds Payable $135172 credit Cash $14.000,00, Debit interest Expense $15.40579. credit Discount on Bonds Payable $1405.78 credit Cash 514,000.00