wa Hele M10-9 (Algo) Recording the Issuance and Interest Payments of a Bond Issued at a Premium (with Premium Account) LO10-5 RKO Company sold bonds with a face value of $850,000 for $955,566. The bonds have a coupon rate of 8 percent, mature in 8 years and pay interest annually every December 31 All of the bonds were sold on January 1 of this year. Using a premium account, record the sale of the bonds on January 1 and the payment of interest on December 31 of this year. RKO uses the effective interest amortization method. Assume an annual market rate of interest of 6 percent. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your final answers to nearest whole dollar amounts.) View transaction ist Journal entry worksheet > Record the payment of interest on December 31 using the effective interest amortization method. ses Note: Enter debits before credits. General Journal Debit Credit Date December 31 Record entry Clear entry View general Journal