Entries for Issuing Bonds and Amortizing Premium by Straight-Line Method cash of $2,238,490. Interest is payable semiannually on April 1 and October 1. a. Journalize the entry to record the issuance of bonds on April 1, 2016. For a compound transaction, if an amount box does not require an entry, leave it blank. combined with the semiannual interest payment. (Round to the nearest dollar.) For a compound transaction, if an amount box does not require an entry, leave it blank. c. Why was the company able to issue the bonds for $2,238,490 rather than for the face amount of $2,100,000 ? The market rate of interest is the contract rate of interest