QS 14-6 Journalizing premium bond issuance LO P3 Garcia Company issues 11.5%, 15-year bonds with a par value of $450,000 and semiannual interest payments. On the issue date, the annual market rate for these bonds is 9.5%, which implies a selling price of 113 3/4 Prepare the journal entry for the issuance of these bonds for cash on January 1 View transaction ist Journal entry worksheet A Record the issue of bonds with a par value of $450,000 at a selling price of 113 3/4. Note: Enter debits before credits. Debit Date General Journal Credit Jan 01 Record entry Clear entry View general Journal Exercise 14-8 Straight-Line: Recording bond issuance and premium amortization LO P3 Wookie Company issues 7%, five-year bonds, on January 1 of this year, with a par value of $94,000 and semiannual interest payments. (0) (1) (2) Semiannual Period-End January 1, issuance June 30, first payment December 31, second payment Unamortized Premium $7,991 7. 192 6,393 Carrying Value $101,991 101, 192 100,393 Use the above straight-line bond amortization table and prepare journal entries for the following (a) The issuance of bonds on January 1. (b) The first interest payment on June 30. (c) The second interest payment on December 31. View transaction list Journal entry worksheet 1 2 3 Record the issuance of the bonds on January 1. Note: Enter debits before credits Credit Debit General Journal Date January 01 Hel Exercise 14-8 Straight-Line: Recording bond issuance and premium amortization LO P3 Wookie Company issues 7%, five-year bonds, on January 1 of this year, with a par value of $94,000 and semiannual interest payments. (0) (1) (2) Semiannual Period-End January 1, issuance June 30, first payment December 31, second payment Unamortized Premium $7,991 7,192 6,393 Carrying Value $101, 991 101, 192 100, 393 Use the above straight-line bond amortization table and prepare journal entries for the following (a) The issuance of bonds on January 1 (b) The first interest payment on June 30. (c) The second interest payment on December 31 View transaction list Journal entry worksheet