The Journal Entry to Record the Issue of Bonds at a Discount

question 75

Multiple Choice

The journal entry to record the issue of bonds at a discount will include a

• A) debit to Cash for the face amount of the bonds.
• B) debit to Cash for the face amount of the bonds plus the amount of the discount.
• C) debit to Cash for the face amount of the bonds minus the amount of the discount.
• D) credit to Cash for the face amount of the bonds.
• Use the information below to answer questions 89-90.
• Coldwater Inc. issues $575,000 of 4%, 8-year bonds for cash proceeds of $502,774. The market interest rate is 6%. Interest is paid semi-annually.

---

Definitions:

Going Dutch

A practice where each person pays for their own expenses during a date or outing, rather than one person covering for all.

Mail-Order Brides

Women who list themselves in catalogs or on websites to be selected by men for marriage, often involving long-distance, cross-cultural relationships.

Subservient Homemaker

A traditional role often attributed to women, where they prioritize domestic tasks and family care over personal ambitions or employment outside the home, reflecting historical social norms.

Matchmaker Services

Companies or individuals that specialize in connecting singles with potential romantic partners.