UTIVO Entries for Issuing Bonds and Amortizing Discount by Straight-Line Method Chart of Accounts Journal Final Questions Instructions On January 1, the first day of its fiscal year, Jacinto Company issued $18,400,000 of five year, 8% bonds to finance its operations of producing and selling home improvement products Interest is payable semiannually. The bonds were issued at a market (effective) interest rate of 9% resulting in Jacinto Company receiving cash of $17.672,074 Required: a. Journaize the entries to record the following (refer to the chart of accounts for the exact wording of the account titles, CNOW journals do not use ines for journal explanations. Every line on a journal page is used for cent or credit entries. CNOW journals w/ automatically indenta credit entry when a credit amount is entered) 1. Issuance of the bonds 2. First semiannual interest payment. The bond ascount amortization using the straight-line method, la combined with the semiannual interest payment (Round your answer to the nearest dollar:) 3. Second semiannual interest payment The bond discount amortization using the straight-line method is combined with the semiannual a. Journalize the entries to record the following (refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use Nines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indenta credit entry when a credit amount is entered): 1. Issuance of the bonds 2. First semiannual interest payment. The bond discount amortization, using the straight-line method is combined with the semiannual interest payment (Round your answer to the nearest dollar) 3. Second semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual Interest payment (Round your answer to the nearest dollar.) b. Determine the amount of the bond interest expense for the first year. c. Explain why the company was able to issue the bonds for only 517,672,074 rather than for the face amount of 548,400,000 Plagiarism Checker Study Daddy. Get Bachelor of Busines... n) eBook Show Me How Entries for Issuing Bonds and Amortizing Discount by Straight-Line Method Chart of Accounts Journal Final Questions Instructions Final Questions b. Determine the amount of the bond interest expense for the first year