RECOMMENDED!!ACC 212-On the first day of the fiscal year, a company issues

  

Premium AmortizationOn the first day of the fiscal year, a company issues an $7,000,000, 8%, 4-year bond that pays semiannual interest of $280,000 ($7,000,000 × 8% × ½), receiving cash of $7,752,864.Journalize the first interest payment and the amortization of the related bond premium. Round to the nearest dollar. If an amount box does not require an entry, leave it blank.Interest Expense ? DebitPremium on Bonds Payable ? DebitCash ? Credit

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