Cornerstone Exercise 9-32 (Algorithmic) Bonds Issued at a Discount (Effective Interest) Sicily Corporation issued $1,150,000 in 9% bonds (payable on December 31, 2029) on January 1, 2020, for $1,046,500. Interest is paid on June 30 and December 31, The market rate of interest is 13%. Required: Prepare the journal entries for December 31, 2020 and 2021. Round amounts to the nearest whole dollar. Dec. 31, 2020 Interest Expense Discount on Bonds Payable Cash $1.750 III III Dec 31, 2021 Interest Expense Discount on Bonds Payable Cash 51.750