Premiere Autoparts Inc. issued $190,000 of 7%, 10-year bonds at a price of 83 on January 31,2017. The market interest rate at the date of issuance was 9%, and the standard bonds pay interest semi-annually.

Premiere Autoparts Inc. issued $190,000 of 7%, 10-year bonds at a price of 83 on January 31, 2017. The market interest rate at the date of issuance was 9%, and the standard bonds pay interest semi-annually. 1. Prepare an effective-interest amortization table for the bonds through the first three interest payments. 2. Record Premiere's issuance of the bonds on January 31, 2017, and payment of the first semi-annual interest amount and amortization of the bonds on July 31, 2017. Explanations are not required. 1. Prepare an effective-interest amortization table for the bonds through the first three interest payments. (Round your answers to the nearest whole dollar.) Premiere Autoparts Amortization Table A B C D E Interest Payment Interest Expense Bond Discount Bond Discount Bond Semi-annual (3.5% of (4.5% of Preceding Bond Amortization Account Balance Carrying Amount Interest Date Maturity Value) Carrying Amount) (B - A) (Preceding D - C) ($190,000 - D) Jan 31, 2017 July 31, 2017 Jan 31, 2018 July 31, 20182. Record Premiere's issuance of the bonds on January 31, 2017, and payment of the first semi-annual interest amount and amortization of the bonds on July 31, 2017. (Record debits first, then credits. Explanations are not required.) Start by recording the issuance of bonds on January 31, 2017. Journal Entry 2017 Accounts Debit Credit Jan 31 Cash Accounts Payable Bonds Payable Cash Now, record the Discount on Bonds Payable int and amortization of the bonds on July 31, 2017. Interest Expense Interest Payable 2017 Premium on Bonds Payable Debit Credit July 31 Interest Expense Premium on Bonds Payable CashNow, record the payment of the first semi-annual interest amount and amortization of the bonds on July 31, 2017. Journal Entry 2017 Accounts Debit Credit July 31 Interest Expense Premium on Bonds Payable Cash