Required 3:

Journal Entry (1) - Record the first interest payment on June 30, 2018.

Journal Entry (2) - Record the second interest payment on December 31, 2018.

Ellis issues 7.0%, five-year bonds dated January 1, 2018, with a $450,000 par value. The bonds pay interest on June 30 and December 31 and are issued at a price of $469,193. The annual market rate is 6% on the issue date. Required: 1. Complete the below table to calculate the total bond interest expense over the bonds' life. 2. Prepare a straight-line amortization table for the bonds' life. 3. Prepare the journal entries to record the first two interest payments. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete the below table to calculate the total bond interest expense over the bonds' life. Total bond interest expense over life of bonds: Amount repaid: payments of Par value at maturity Total repaid Less amount borrowed Total bond interest expense Required 1 Required 2 Required 3 Prepare a straight-line amortization table for the bonds' life. Semiannual Interest Unamortized Period-End Premium Carrying Value 01/01/2018 06/30/2018 12/31/2018 06/30/2019 12/31/2019 06/30/2020 12/31/2020 06/30/2021 12/31/2021 06/30/2022 12/31/2022 Journal entry worksheet Record the first interest payment on June 30, 2018. Note: Enter debits before credits. Date General Journal Debit Credit Jun 30, 2018 Record entry Clear entry View general journal