On the first day of the fiscal year, a company issues a $755,000, 10%, 10-year bond that pays semiannual interest of $37,750 ($755,000 x 10% x 1/2), receiving cash of $792,800. Journalize the entry for 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.

	Bonds PayableCashDiscount on Bonds PayableInterest ExpenseInterest Payable	- Select -	- Select -
	Bonds PayableCashDiscount on Bonds PayableInterest RevenuePremium on Bonds Payable	- Select -	- Select -
	Bonds PayableCashDiscount on Bonds PayableInterest ExpensePremium on Bonds Payable	- Select -	- Select -