Obj. 2 PR 11-1A Bond discount, entries for bonds payable transactions (effective) interest rate of 8%, receiving cash of $37,282,062. Interest on the bonds is payable semiannually on December 31 and June 30. The fiscal year of the company is the calendar year. 1,535,897 On July 1, Year 1, Danzer Industries Inc. issued $40,000,000 of 10-year, 7% bonds at a market ENERAL LEDGER Instructions 1. Journalize the entry to record the amount of cash proceeds from the issuance o on July 1, Year 1. 2. Journalize the entries to record the following: A. The first semiannual interest payment on December 31, Year 1, and the amortization o the bond discount, using the straight-line method. (Round to the nearest dollar.) B. The interest payment on June 30, Year 2, and the using the straight-line method. (Round to the amortization of the bond discount, nearest dollar.)