On the first day of the fiscal year, a company issues a $1,400,000, 10%, 7-year bond that pays semiannual interest of $70,000 ($1,400,000 × 10% × ½), receiving cash of $1,547,883. 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.

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On the first day of the fiscal year, a company issues a $1,400,000, 10%, 7-year bond that pays semiannual interest of $70,000 ($1,400,000 × 10% × ½), receiving cash of $1,547,883.

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.

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