A partial amortization schedule for Sugar Ray's BBQ follows.

(1)		(2)				(3)				(4)				(5)
Period		Cash Paid for Interest				Interest Expense				Increase in Carrying Value				Carrying Value
Issue date														$	54,834
1		$	1,550			$	1,645			$	95				54,929
2			1,550				1,648				98				55,027

Required:

1. & 2. Record the bond issue and first interest payment assuming the face amount of bonds payable is $62,000. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)

Journal entry worksheet

• Record the bond issue.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
1

Journal entry worksheet

• Record the first interest payment.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
2