The bonds payable "A" (maturity date:10/1/x6, with semiannual interest payments on 4/1 and 10/1) were issued at a premium on 10/1/x1.The stated interest rate is: 9% Straightline amortization is used for the bond issue costs and premium.[Hint:The amounts on the postclosing trial balance as of 12/31/x1 have been adjusted for the three months since the bond was issued on 10/1/x1.]

For the two early retirements presented below, present the entry to record the early retirement of the bonds.

5) 6/1/x2: The company issued 5-year bonds (maturing on 6/1/x7) with the following features: Principal: $ 500,000 Stated interest rate: 8% Effective interest rate at 6/1/x2: 9% Semi-annual interest payments: June 1 and December 1. These bonds are referred to as Bonds Payable "B". The effective interest method of amortization is used