On the first day of the fiscal year, a company issues a $4,500,000, 7%, 7-year bond that pays semiannual interest of $157,500 ($4,500,000 7% ), receiving cash of $4,262,330.

Using straight-line amortization, journalize the first interest payment and the amortization of the related bond discount. Round to the nearest dollar. If an amount box does not require an entry, leave it blank.

	Account	Debit	Credit
	Accounts PayableBonds PayableDiscount on Bonds PayableInterest ExpenseInterest PayablePremium on Bonds Payable	- Select -	- Select -
	Accounts PayableBonds PayableDiscount on Bonds PayableInterest ExpenseInterest PayablePremium on Bonds Payable	- Select -	- Select -
	Accounts PayableBonds PayableCashInterest ExpenseInterest PayablePremium on Bonds Payable	- Select -	- Select -