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Unformatted text preview: discount amortization? Interest expense $5,719 Cash interest payment 5,000 Discount amortized $719 3. Prepare the journal entry for the payment of interest and the amortization of discount on December 31(the third year), and determine the balance sheet presentation of the bonds on that date. Dec. 31 (journal entry) Interest Expense 1,142 Discount on Bonds Payable 142 Cash 1,000 Balance Sheet Presentation as of December 31, 2010 Bonds payable $1,000 Less: Discount on bonds payable 142 $858...
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