View Policies Show Attempt History Current Attempt in Progress Cullumber Electric sold $3,950,000, 12 %, 10-year bonds on January 1, 2022. The bonds were dated January 1 and pay interest annually on January 1. Cullumber Electric uses the straight-line method to amortize bond premium or discount. The bonds were sold at 101. (a) Your answer is partially correct. Prepare the journal entry to record the issuance of the bonds on January 1, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Jan. 1. 2022 Cash Premium on Bonds Payable Bonds Payable Debit Credit 3950000