On May 1, 2020, Medum Corporation issued a 4-year bond worth $429,000 with an interest rate of 8% per annum. Interest is to be paid semi-annually on October 31 and April 30. At the time of the issuance, the market interest rate was 4%. Medum Corporation amortizes any premium or discount using the effective interest method.

Calculate the bond issue price and the resulting premium or discount.

Only need calculations for sections 4 & 5 please with equations for calculations.

Bond Issue Price: $491857 Premium or Discount: $62857 b) Prepare journal entries to record the following bonds payable transactions. 1) Issuance of bonds on May 1, 2020. Date Account Title and Explanation Debit Credit May 1 Cash 491857 Bonds Payable $ 429000 Premium on Bonds Payable 62857 To record bond issuance 2) Payment of interest and amortization of premium or discount on October 31, 2020. Date Account Title and Explanation Debit Credit Oct 31 Interest Expense 9837 Premium on Bonds Payable 7323 M Cash $ 17160 To record first payment of interest and amortization 3) Accrual of interest and amortization of premium or discount on December 31, 2020, which is the company's year-end. Date Account Title and Explanation Debit Credit Dec 31 Interest Expense 3230 Premium on Bonds Payable 2490 Interest Payable 5720 To record the interest accrued on bonds payable 4) Payment of interest and amortization of premium or discount on April 30, 2021. Date Account Title and Explanation Debit Credit Apr 30 Interest Expense 3230 X Interest Payable 5720 Premium on Bonds Payable 2490 x Cash 17160 To record payment of interest and amortization 5) Redemption of the bond for its face value one year before maturity on May 1. Date Account Title and Explanation Debit Credit May 1 Bonds Payable Premium on Bonds Payable 62857 x Cash 445664 Redemption of bond