May 1 Issued $500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. Oct. 31 Recorded the payment of semiannual interest on the bonds issued on May 1 and the amortization of the...

May 1 Issued $500,000 of 10-year, 5% bonds at 104, with interest payable semiannually.

Oct. 31

Recorded the payment of semiannual interest on the bonds issued on May 1 and the amortization of the premium for six months. The amortization is determined using the straight-line method.