Problem 12-15 points On January 1, 2013, Plank Corporation issued 1.800.000, 0%, 5-year bonds for $709,112. The bonds were sold to yield an effective interest rate of 10% Interest is paid semiannually on June 30 and December 31. The company uses the effective interest method of amortization, Instructions (a) Prepare a bond discount amortization schedule which shows the amortization of discount for the first two interest payment dates. (Round to the nearest dollar) (b) Prepare the journal entries that Plank Corporation would make on January 1, June 30, and December 31, 2013, related to the bond issue. Worksheet: a) PLANK CORPORATION Bond Discount Amortization Effective-Interest Method -Semiannual Interest Payments 9% Bonds Issued at 10% Interest Interest to Interest Discount Unamortized Value Periods be Paid Expense Amortization Discount Carrying of Bonds (6) Joumal Entries: Debit Credit