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Required information

Use the following information for the Problems below. $($Static$)$

$[$The following information applies to the questions displayed below.$]$

Hillside issues $\backslash (\backslash$$ $4,000,000\backslash )$ of $\backslash (6\backslash \%\backslash ),15-$year bonds dated January $1,2021,$ that pay interest semiannually on June $30$ and December $31.$

Problem $10-2$A $($Static$)$ Straight$-$Line: Amortization of bond premium LO P$3$

The bonds are issued at a price of $\backslash (\backslash$$ $4,895,980\backslash ).$

Required:

$1.$ Prepare the January $1$ journal entry to record the bonds' issuance.

$2($a$)$ For each semiannual period, complete the table below to calculate the cash payment.

$\backslash (\backslash$mathbf$\{2\}\backslash )($b$)$ For each semiannual period, complete the table below to calculate the straight$-$line premium amortization.

$2($c$)$ For each semiannual period, complete the table below to calculate the bond interest expense.

$3.$ Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life.

$4.$ Prepare the first two years of a straight$-$line amortization table.

$5.$ Prepare the journal entries to record the first two interest payments.

Complete this question by entering your answers in the tabs below.

Req $2$ A to $2$ C

Prepare the January $1$ journal entry to record the bonds' issuance.

Journal entry worksheet

$1.$ Prepare the January $1$ journal entry to record the bonds' issuance.

$2($a$)$ For each semiannual period, complete the table below to calculate the cash payment.

$2($b$)$ For each semiannual period, complete the table below to calculate the straight$-$line premium amortization.

$2($c$)$ For each semiannual period, complete the table below to calculate the bond interest expense.

$3.$ Complete the below table to calculate the total bond interest expense to be recognized over the bonds' life.

$4.$ Prepare the first two years of a straight$-$line amortization table.

$5.$ Prepare the journal entries to record the first two interest payments.

Complete this question by entering your answers in the tabs below.

Req $1$

Req $2$A to $2$C

Prepare the January $1$ journal entry to record the bonds' issuance.

Journal entry worksheet

Record the issue of bonds with a par value of $\backslash$$$4,000,000$ on January $1,2021$ at an issue price of $\backslash (\backslash$$ $4,895,980\backslash ).$

Note: Enter debits before credits.