On January 1, a company issues bonds dated January 1 with a par value of $610,000. The bonds mature in 3 years. The contract rate is 8%, and interest is paid semiannually on June 30 and December 31. The bonds are sold for $592,000. The journal entry to record the first interest payment using straight-line amortization is: Multiple Choice O Debit Bond Interest Expense $21,400; debit Discount on Bonds Payable $3,000; credit Cash $24,400. Debit Bond Interest Expense $27,400; credit Discount on Bonds Payable $3,000; credit Cash $24,400. Debit Interest Payable $24,400; credit Cash $24,400. Debit Bond Interest Expense $24,400; credit Premium on Bonds Payable $3,000; credit Cash $21,400.

On January 1 , a company issues bonds dated January 1 with a par value of $610,000. The bonds mature in 3 years. The contract rate is 8%, and interest. Is paid semiannually on June 30 and December 31. The bonds are sold for $592,000. The journal entry to record the first interest payment using straight-ine amortization is: Multipie Choice Debit Bond interest Exponse \$21,400, debit Discount on Bondis Payablo \$3,000; credit Cach \$2,4,400. Debit Bond interest Expense \$27,400; credt Discount on Bonds Payable \$3,000; credit Cash $24,400 Debit inderest Payable 524,400 , credit Cash 524,400 Deba giond interest Expense \$24,400, cede Premlum on Bonds Payable \$3,000, ciedit Cash $21,400