Entries for sing Bonds and Amortizing Discount by straight-Line Method On the first day of its fiscal year, Jacinto Company issued $6,500,000 of six-year bonds to finance its operations of producing and selling home improvement products, Interest is payable semiannually. The bonds were issued at a market (effective interest rate of 8%, resulting in Jacinto Company receiving cash of 16,194,00 a. Journalise the entries to record the following: 1. Issuance of the bonds 2. First semiannual interest payment. The band discount amortization is combined with the semiannual interest payment. 3. Second semiannual interest payment. The bond discount amortization is combined with the semiannual interest payment. Y an amount box does not require an entry, leave it blank. Round your answers to the nearest dollar Cash 6.194.905 Discount on Bonds Payable 305.015 1. Bonds Payable 6.500,000 252916 2. Interest Expense Discount on Bonds Payable Cash 25.418 227.500 252.9111 3. Interest Expense Discount on Bonds Payable 25.418 Cash 22.50 b. Determine the amount of the band interest expense for the first year. Round your answer to the nearest dollar. c. Why was the company able to issue the bonds for only $6.194,985 rather than for the face amount of $6,500,000? The market rate of interest is the contract rate of interest