Schedule of Amortization
Effective-Interest Method (12%)
Year	Cash Paid	Interest Expense (@12%)	Discount Amortized	Carrying Amount of Bonds
1	2	3	(3 - 2)
1-Jan-19	-	-	-	277,800
1-Jul-19	15,000	16,668	1,668	279,468
1-Jan-20	15,000	16,768	1,768	281,236
1-Jul-20
1-Jan-21
1-Jul-21
1-Jan-22
1-Jul-22
1-Jan-23
1-Jul-23
1-Jan-24				299,786
The carrying amount on 1 Jan 24 (in blue) should be RM300,000 (the face value of the bond) rather than RM299,786. The difference is due to rounding the numbers. The journal entry to record the bonds on 1 January 2019 is Dr ___________and Cr Bonds payable [Fill in the blank with the account name and amount. E.g. Rental RM20,000]. The journal entry to record the adjusting entries or accrued interest on 31 December 2019 is Dr ________. [Fill in the blank with the account name and amount. E.g. Rental RM20,000] The journal entry to record the adjusting entries or accrued interest on 31 December 2019 is Cr (i) Bonds payable RM________. The journal entry to record the adjusting entries or accrued interest on 31 December 2019 is Cr (ii)_________ [Fill in the blank with the account name and amount. E.g. Rental RM20,000] The journal entry to record the interest paid on 1 July 2020 is Dr Interest expense RM_________ The journal entry to record the interest paid on 1 July 2020 is Cr (i) Bonds payable RM_________ The journal entry to record the interest paid on 1 July 2020 is Cr (ii) _________ [Fill in the blank with the account name and amount. E.g. Rental RM20,000].