Higgins, Inc., has a fiscal year end of December 31. The company issues $400,000, 8%, 5-year bonds on January 1, 20Y5. The bonds pay interest semiannually on June 30 and December 31 of each year. Assume the bonds are issued at a premium for $434,121 (i.e., when the market rate of interest is 6%).

Use your amortization table and complete the FSET for the following transactions:

Issuance of the bonds

Payment of coupons for each of the 5 years

Retirement of bonds on December 31, 20Y9