Show Me How Chapter 11 Homework (5cks eBook Entries for Bonds Payable, including bond redemption The following transactions were completed by Montague Inc., whose fiscal year is the calendar year: 20Y1 July 1. Issued $55,000,000 of 10-year, 9% callable bonds dated July 1, 20Y1, at a market (effective) rate of 7%, receiving cash of $62,817,040. Interest is payable semiannually on December 31 and June 30. Dec. 31. Paid the semiannual interest on the bonds. The bond premium amortization of $390,852 is combined with the semiannual interest payment 2012 June 30. Paid the semiannual interest on the bonds. The bond premium amortization of $390,852 is combined with the semiannual interest payment. combined with the semiannual interest Dec. 31. Paid the semiannual interest on the bonds. The bond premium amortization of $390,852 payment 20Y3 June 30. Recorded the redemption of the bonds, which were called at 103. The balance in the bond premium account is $6,253,632 after payment of interest and amortization of premium have been recorded. (Record the redemption only.) blank. When required, round amounts to the nearest dollar. 1. Journalize the entries to record the foregoing transactions. If an amount box does not require an entry, leave 20Y1 July 1 Dec. 31 Chapter 11 Homework (Scks eBook Show Me How Dec. 1 20Y2 June 30 Dec. 31 20Y3 June 30 2. Indicate the amount of the interest expense in (a) 2011 and (b) 2012. a. 2011 b. 20Y2 3. Determine the carrying amount of the bonds as of December 31, 2012