On the first day of its fiscal year, Chin Company issued $26,400,000 of five-year, 5% bonds to finance its operations of producing and selling home improvement products. Interest is payable semiannually. The bonds were issued at a market (effective) interest rate of 6%, resulting in Chin Company receiving cash of $25,273,908. a.  Journalize the entries to record the following: Issuance of the bonds. First semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual interest payment. (Round your answer to the nearest dollar.) Second semiannual interest payment. The bond discount amortization, using the straight-line method, is combined with the semiannual interest payment. (Round your answer to the nearest dollar.) For a compound transaction, if an amount box does not require an entry, leave it blank. Round your answers to the nearest dollar. 1.   fill in the blank 6e9541070fd9028_2 fill in the blank 6e9541070fd9028_3     fill in the blank 6e9541070fd9028_5 fill in the blank 6e9541070fd9028_6     fill in the blank 6e9541070fd9028_8 fill in the blank 6e9541070fd9028_9 2.   fill in the blank 6e9541070fd9028_11 fill in the blank 6e9541070fd9028_12     fill in the blank 6e9541070fd9028_14 fill in the blank 6e9541070fd9028_15     fill in the blank 6e9541070fd9028_17 fill in the blank 6e9541070fd9028_18 3.   fill in the blank 6e9541070fd9028_20 fill in the blank 6e9541070fd9028_21     fill in the blank 6e9541070fd9028_23 fill in the blank 6e9541070fd9028_24     fill in the blank 6e9541070fd9028_26 fill in the blank 6e9541070fd9028_27 b.  Determine the amount of the bond interest expense for the first year. $fill in the blank 83dd86f9f045038_1 c.  Why was the company able to issue the bonds for only $25,273,908 rather than for the face amount of $26,400,000? The market rate of interest is   the contract rate of interest.

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