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Pretzelmania, Inc., issues 7%, 15-year bonds with a face amount of $54,000 for $59,245 on...

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Accounting

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Pretzelmania, Inc., issues 7%, 15-year bonds with a face amount of $54,000 for $59,245 on January 1, 2021. The market interest rate for bonds of similar risk and maturity is 6%. Interest is paid annually on December 31. Required: 1. & 2. Record the bond issue and first interest payment on December 31, 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Round your intermediate computations and final answers to the nearest whole dollar amount.) View transaction list Journal entry worksheet Record the bond issue on January 1, 2021. Debit Credit Note: Enter debits before credits. Date General Journal January 01, Cash 2021 Bonds Payable Premium on Bonds Payable 59,245 54,000 59,245 Record entry Clear entry View general journal View transaction list Journal entry worksheet

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