Rodgers Corporation produces and sells football equipment. On July 1, Year 1, Rodgers Corporation issued $51,200,000 of 10-year, 14% bonds at a market (effective) interest rate of 12%, receiving cash of $57,072,353. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year.

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For all journal entries with a compound transaction, if an amount box does not require an entry, leave it blank.

SpringFit Corporation DESCRIPTION POST. REF CREDIT EQUITY Jan. 1 Cash 1,008,960.00 Premium on Bonds Payable 58,960.00 Bonds Payable 950,000.00 Jun. 30 nterest Expense 18,427.00 Premium on Bonds Payable 21,375.00 Jul. 1 Cash 1,729,164.00 Discount on Bonds Payable 70,836.00 Bonds Payable 1,800,000.00 Oct.1 Cash 1,100,000.00 Notes Payable 1,100,000.00 Dec.31 Interest Expense 18,427.00 Premium on Bonds Payable 21,375.00 31 Interest Expense 16,500.00 Interest Payable 16,500.00 31 Interest Expense 37,403.00 Discount on Bonds Payable 5,903.00 31,500.00 31 Income Summary 90,757.00 Interest Expense 90,757.00