value 10.00 points PA10-7 (Supplement 10B) Recording Bond Issue, Interest Payments (Effective-Interest Amortization), and Early Bond Retirement [LO 10-S2] On January 1, 2015, Surreal interest rate of 3 percent paid annually on December 31, and a maturity date of December 31, 2017. On the issue date, the market interest rate was 4 percent, so the total proceeds from the bond issue were $495,849. Surreal uses the effective-interest bond amortization method and adjusts for any rounding errors when recording interest in the final year issued 510 bonds, each with a face value of $1,000, a stated Required Prepare a bond amortization schedule. (Round your answers to the nearest whole dollar. Make sure that the Carrying value equals face value of the bond in the last period. Interest expense in the last period will result in the amount in Discount Amortized equaling Discount on Bonds Payable.) Changes During the Period Ending Bond Liability Balances Discount on Period Interest Expense Discount Amortized Bonds Payable Cash Paid Ended 01/01/15 12/31/15 12/31/16 12/31/17 Bonds Payable Carrying Value 2-5 Complete the required journal entries to record the bond issue, interest payments on December 31, 2015 and 2016, interest and face value payment on December 31, 2017, and bond retirement. Assume the bonds are retired on January 1, 2017, at a price of 102. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Do not round intermediate calculations. Round your answers to the nearest whole dollar.) View transaction list Journal entry worksheet 2 4 Record the issuance of 510 bonds at face value of $1,000 each for $495,849. Note: Enter debits before credits. Debit General Journal Date Credit January 01, 2015 Clear entry Record entry View general journal