On June 30,2012 , Teal Company issued 12% bonds with a par value of $750,000 due in 20 years. They were issued at 98 and were callable at 104 at any date after June 30,2020. Because of lower interest rates and a significant change in the company's credit rating. it was decided to call the entire issue on June 30,2021 , and to issue new bonds. New 8%. Sonds were sold in the amount of $920,000 at 102; they mature in 20 years. Teal Company uses straight-line amortization. Interest payment dates are December 31 and June 30. (a) Prepare journal entries to record the redemption of the old issue and the sale of the new issue on June 30, 2021. (b) Prepare the entry required on December 31,2021, to record the payment of the first 6 months' interest and the amortization of premium on the bonds. 130,2021 Bonds Paryable: 750000 Ians on Redemption of glands Dicount on Bonds Paryable 8250 Cash (To record the redemption of the old issue). 30.2021% cash 1030200 Bonds Payable Premium on Bonds Payable \begin{tabular}{|r|} \hline 1020000 \\ \hline 10%00 \\ \hline \end{tabular} (To record the sale of the new issue) 31.2021 Interest Expense 40545 Premiumon Bonds Payable 255 Eash