There are four parts to this problem for it to be completed

PART I:

PART II:

PART III:

PART IV:

Record the interest payment and amortization on June 30.

Record the interest payment and amortization on December 31.

Required Information Problem 10-4A Straight-Line: Amortization of bond discount LO P2 [The following information applies to the questions displayed below.) Legacy issues $650,000 of 5.0%, four-year bonds dated January 1, 2019, that pay Interest semiannually on June 30 and December 31. They are issued at $584,361 when the market rate is 8%. Problem 10-4A Part 1 Required: 1. Prepare the January 1 journal entry to record the bonds' issuance. View transaction list Journal entry worksheet Record the issue of bonds with a par value of $650,000 on January 1, 2019 at an issue price of $584,361. Note: Enter debits before credits. Date General Journal Debit Credit January 01 Record entry Clear entry View general journal ! Required Information Problem 10-4A Straight-Line: Amortization of bond discount LO P2 [The following information applies to the questions displayed below.) Legacy Issues $650,000 of 5.0%, four-year bonds dated January 1, 2019, that pay Interest semiannually on June 30 and December 31. They are issued at $584,361 when the market rate is 8%. Problem 10-4A Part 2 2. Determine the total bond Interest expense to be recognized over the bonds' life. Total bond interest expense over life of bonds: Amount repaid payments of Par value at maturity Total repaid Less amount borrowed Total bond interest expense ! Required Information Problem 10-4A Straight-Line: Amortization of bond discount LO P2 {The following information applies to the questions displayed below.] Legacy issues $650,000 of 5.0%, four-year bonds dated January 1, 2019, that pay Interest semiannually on June 30 and December 31. They are issued at $584,361 when the market rate is 8%. Problem 10-4A Part 3 3. Prepare a straight-line amortization table for the bonds' first two years. Carrying Value Semiannual Period- Unamortized End Discount 01/01/2019 06/30/2019 12/31/2019 06/30/2020 12/31/2020 Required Information Problem 10-4A Straight-Line: Amortization of bond discount LO P2 [The following information applies to the questions displayed below.] Legacy issues $650,000 of 5.0%, four-year bonds dated January 1, 2019, that pay Interest semiannually on June 30 and December 31. They are issued at $584,361 when the market rate is 8%. Problem 10-4A Part 4 4. Prepare the journal entries to record the first two interest payments. View transaction list Journal entry worksheet