On the first day of the fiscal year, a company issues a $573,000, 12%, 10-vear bond that pays semiannual interest of $34,380 ($573,000 x 12% x 1/2), receiving cash of $601,700. Journalize the entry to record the first interest payment and amortization of premium using the straight-line method. If an amount box does not require an entry, leave it blank. Interest Expense Premium on Bonds Payable Cash