The company issued a $450,000, 10%, 3-year Notes payable on October 31, 2018. Interest and principal are due at the maturity date, October 31, 2021.

The company issued $1,000,000 face value 4-year 8% bonds at $935,370 on December 31, 2018. Interest payments were made semiannually. The company retired the bonds payable at 97 on July 1st, 2021.
(a) Cash payment calculation: $1,000,000 * (8%/2)
(b) Interest expense calculation: Current book value (e) * (10%/2)
(c) Periodic amortization calculation: Interest expense (b) - Cash payment (a)
(d) Unamortized discount calculation: Unamortized discount (d) - Periodic amortization (c)
Bonds payable amortization schedule
		(a) Cash payment	(b) Interest expense	(c) Periodic discount amortization	(d) Unamortized discount	(e) Book value
12/31/2018	Issuance				$64,630	$935,370
6/30/2019		$40,000	$46,769	$6,769	$57,862	$942,139
12/31/2019		$40,000	$47,107	$7,107	$50,755	$949,245
6/30/2020		$40,000	$47,462	$7,462	$43,292	$956,708
12/31/2020		$40,000	$47,835	$7,835	$35,457	$964,543
6/30/2021		$40,000	$48,227	$8,227	$27,230	$972,770

Complete the following general journal using the above information.