Amortization of premium using the straight-line method

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On the first day of the fiscal year, Nixon Company issues a $923,000, 7%, 10-year bond that pays semi-annual interest of $32,305 ($923,000 x 7% x 1/2), receiving cash of $969,200. Journalize the entry to record the first interest payment and amortization of premium using the straight-line method.

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Reference no: EM131224099

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