**ONLY NEED THE BALANCE SHEET PORTION**

Your answer is correct. Prepare the journal entries to record the following transactions. (Round answers to O decimal places, eg. 125. Credit account titles are automatically indented when amount is entered. Do not indent manually.) 1. The issuance of the bonds on January 1,2017 2. Accrual of interest and amortization of the premium on December 31,2017 3. The payment of interest on January 1,2018. 4. Accrual of interest and amortization of the premium on December 31,2018. No. DateAccount Titles and Explanation Debit Credit 1. Jan. 1, 2017 Cash 2194245 Bonds Payable 2000000 Premium on Bonds Payable 194245 2. Dec. 31,2017 Interest Expense 131,655 Premium on Bonds Payable 8,345 Interest Payable 140000 3. Jan.1, 2018 Interest Payable 140000 Cash 140000 Dec. 31,2018 Interest Expense 131,154 Premium on Bonds Payable 8846 Interest Payable 140,000 -Your answer is partially correct. Show the proper long-term liabilities balance sheet presentation for the liability for bonds payable at December 31, 2018. (Round answers to O decimal places, e.g. 125.) INDIGO COMPANY Balance Sheet (Partial) December 31,2018 Long-term Liabilities Bonds Payable 2000000 AddPremium on Bonds Payable eTextbook and Media List of Accounts Your answer is correct Provide the answers to the following questions. 1. What amount of interest expense is reported for 2018? (Round answer to O decimal places, eg. 125.) Interest expense to be reported 131,154 2.The bond interest expense reported in 2018 would be greater than the amount that would be reported if the straight-line method of amortization were used. List of Accounts