Show Me How Calculator Entries for Issuing Bonds and Amortizing Premium by Straight-Line Method les repair products to equipment manufacturers, on Apri . 2016, Daan Corporation issued si 100,000 ch yea, ssb ndsat an ariet rate of 7%, recerving cash of $1,220,126. Interest is payable semiannually on April 1 and October 1. effect vel ntoret a. Journalize the entry to record the issuance of bonds on April 1, 2016. For a compound transaction, if an amount box does not require an entry, leave it blark Cash 220,126 Premium on Bonds Payable Bonds Payable 120.126T 1,100,000 Feedback Check My Work Bonds Payable is always recorded at face value. Any difference in issue price is refected in a premium or discount The straight-line method of amortization provides equal amounts of amortization over the ifte of the b. Journalize the entry to record the first interest payment on October 1, 2016, and amortization of bond premium for six months, using the straight-ine method. The bond premium amortization is combined with the semiannual interest payment. (Round to the nearest dallar.) For a compound transection, if an amount box does not require an entry, leave it blank Interest Expense v Premium on Bonds Payable v 109,11X Cash Previous Check My Work A" work saved 2:36 AM