On the first day of its fiscal year, Chin Company issued $19,600,000 of five-year, 5% bonds to finance its operations of producing and selling home improvement products. Interest is payable semiannually. The bonds were issued at a market (effective) interest rate of 7%, resulting in Chin Company receiving cash of $17,969,971. a. Journalize the entries to record the following: 1. Issuance of the bonds. 2. First semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual interest payment. (Round your answer to the nearest dollar.) 3. Second semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual interest payment. (Round your answer to the nearest dollar.) For a compound transaction, if an amount box does not require an entry, leave it blank. Round your answers to the nearest dollar. 1. Cash 17,969,971 0 Discount on Bonds Payable 1,630,029 0 Bonds Payable 0 19,600,000 2. Interest Expense 0 Discount on Bonds Payable 0 Cash 0 490,000 3. Interest Payable 0 Discount on Bonds Payable 0 Cash 0 490,000 b. Determine the amount of the bond interest expense for the first year