Use the following information for the Problems below. $($Algo$)$

$[$The following information applies to the questions displayed below.$]$

Hillside issues $$2,400,000$ of $9\%,15-$year bonds dated January $1,2021,$ that pay interest semiannually on June $30$ and

December $31.$

Problem $10-2$A $($Algo$)$ Straight$-$Line: Amortization of bond premium LO P$3$

The bonds are issued at a price of $$2,937,590.$

Required:

Prepare the January $1$ journal entry to record the bonds' issuance.

$2($a$)$ For each semiannual period, complete the table below to calculate the cash payment.

$2($b$)$ For each semiannual period, complete the table below to calculate the straight$-$line premium amortization.

$2($c$)$ For each semiannual period, complete the table below to calculate the bond interest expense.

Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life.

Prepare the first two years of a straight$-$line amortization table.

Prepare the journal entries to record the first two interest payments.

Complete this question by entering your answers in the tabs below.

Prepare the January $1$ journal entry to record the bonds' issuance.

Journal entry worksheet

$1$

Record the issue of bonds with a par value of $$2,400,000$ on January $1,2021$

at an issue price of $$2,937,590.$

Note: Enter debits before credits.