On January 1,2025 , Ayayai Company issued $1,000,000 face value, 7%,10-year bonds at $1,073,601. This price resulted in a 6% effective-interest rate on the bonds. Ayayai uses the effective-interest method to amortize bond premium or discount. The bonds pay annual interest on each January 1. 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 0 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. Show the proper long-term liabilities balance sheet presentation for the liability for bonds payable at December 31, 2026. (Round answers to 0 decimal places, e.g. 125.) Io. Date Account Titles and Explanation Debit Cr 1. 2. 3. 4. Provide the answers to the following questions. 1. What amount of interest expense is reported for 2026? (Round answer to 0 decimal places, e.g. 125.) Interest expense to be reported $ 2. The bond interest expense reported in 2026 would be method of amortization were used. eTextbook and Media List of Accounts the amount that would be reported if the straight-line the amount that would be reported if the straight-line