Amortization of bond premium for the year, Cost Accounting

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on the first day of the current fiscal year $2,000,000 of 10 year 7% bonds with interest payable annually, were sold for $2,125,000. Present enteries to record the following transactions for the current fiscal year
A Issuance of the bonds
B First annual interest payment
C Amortization of bond premium for the year using the striaght line mthod of amortization


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