A Company Receives $102,000 When It Issues a Bond with a Face

question 259

Multiple Choice

A company receives $102,000 when it issues a bond with a face value of $100,000 and a stated interest rate of 7%.Which of the following statements is correct?

• A)The entry to record the issuance will include a credit to Bonds Payable for $102,000.
• B)The market interest rate is 7%.
• C)The annual interest expense is $7,000.
• D)The carrying value of the bonds will be $100,000 at maturity.

Comprehend the role of social influence and suggestibility in shaping human behavior and experiences.

Grasp the physiological and psychological processes involved in sensory experiences, including pain relief through dissociation or placebo effects.

Recognize the psychological phenomenon related to expectation and perception, such as the impact of last experiences and the influence of price on perceived quality.

Describe the basic mechanisms underlying the chemical senses (taste and olfaction) and their relation to other cognitive and emotional processes.

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Definitions:

Bond Dissociation Energies

The energy required to break a specific chemical bond in a molecule into two parts, under specified conditions.

ΔS°

The standard entropy change of a chemical reaction, representing the difference in entropy between the products and reactants under standard conditions.

Propagation Step

In polymer chemistry, it's the phase of a chain reaction in which an active center reacts with a monomer to form a new active center, perpetuating the growth of the polymer chain.

Chlorination

A chemical reaction that involves the addition of chlorine to a molecule, commonly used in organic chemistry to replace hydrogen atoms or add chlorine to double bonds.