On January $1$ of this year, Ikuta Company issued a bond with a face value of $$110,000$ and a coupon rate of $4$ percent. The bond matures in $3$ years and pays interest every December $31.$ When the bond was issued, the annual market rate of interest was $5$ percent. Ikuta uses the effective$-$interest amortization method. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ and PVA of $$1)$

Note: Use appropriate factor$($s$)$ from the tables provided.

Required:

Complete a bond amortization schedule for all three years of the bond's life.

What amounts will be reported on the income statement and balance sheet at the end of Year $1$ and Year $2?$