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Using a Premium Amortization Table (Straight Line)

For Dingle Corporation, the following amortization table was prepared when $400,000 of 5-year, 7% bonds were sold on January 1, 2024, for $443,000.

Period	Cash Payment (Credit)	Interest Expense (Debit)	Premium on Bonds Payable (Debit)	Premium on Bonds Payable Balance	Carrying Value
At issue				43,000	443,000
06/30/24	$14,000	$9,700	$4,300	38,700	438,700
12/31/24	14,000	9,700	4,300	34,400	434,400
06/30/25	14,000	9,700	4,300	30,100	430,100
12/31/25	14,000	9,700	4,300	25,800	425,800
06/30/26	14,000	9,700	4,300	21,500	421,500
12/31/26	14,000	9,700	4,300	17,200	417,200
06/30/27	14,000	9,700	4,300	12,900	412,900
12/31/27	14,000	9,700	4,300	8,600	408,600
06/30/28	14,000	9,700	4,300	4,300	404,300
12/31/28	14,000	9,700	4,300	0	400,000

Required:

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1. Prepare the entry to recognize the issuance of the bonds on January 1, 2024. If an amount box does not require an entry, leave it blank.

2024 Jan. 1	Bonds PayableCashPremium on Bonds PayableInterest ExpenseInterest Payable	- Select -	- Select -
	Bonds PayableCashDiscount on Bonds PayableInterest ExpenseInterest Payable	- Select -	- Select -
	Discount on Bonds PayableInterest ExpenseInterest PayableNotes PayablePremium on Bonds Payable	- Select -	- Select -
	Record issuance of bonds at premium

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2. Prepare the entry to recognize the first interest payment on June 30, 2024. If an amount box does not require an entry, leave it blank.

2024 June 30	Bonds PayableCashDiscount on Bonds PayableInterest ExpenseInterest Payable	- Select -	- Select -
	Bonds PayableCashDiscount on Bonds PayableInterest PayablePremium on Bonds Payable	- Select -	- Select -
	Bonds PayableCashDiscount on Bonds PayableInterest ExpenseInterest PayablePremium on Bonds Payable	- Select -	- Select -
	Record interest expense

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3. Determine what interest expense for this bond issue Dingle will report in its 2025 income statement. $fill in the blank 6d867bf67fee058_1

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4. Indicate how these bonds will appear in Dingles December 31, 2027, balance sheet.

Bonds payable:
7% Bonds, due 2028Accumulated AmortizationNet Loss on Bonds PayableUnamortized premium on Bonds Payable	$- Select -
Add: Unamortized Discount on Bonds PayableLess: Unamortized Discount on Bonds PayableAdd: Unamortized Premium on Bonds PayableLess: Unamortized Premium on Bonds Payable	- Select -	$- Select -