If an amount box does not require an entry, leave it blank. 1. Cash Discount on Bonds Payable Bonds Payable 2. Interest Expense Discount on Bonds Payable Cash 29,347,494 252,506 29,600,000 844,506 252.506 592,000 3. Interest Expense 844,506 Discount on Bonds Payable 252,506 Cash 592,000 b. Determine the amount of the bond Interest expense for the first year. c. Why was the company able to issue the bonds for only $27,074,942 rather than for the face amount of $29,600,000? The market rate of interest is amount of the bonds. the contract rate of interest. Therefore, inventors willing to pay the full face