Your Company Issues $500,000 in Bonds at a Price of 98.The

question 76

Multiple Choice

Your company issues $500,000 in bonds at a price of 98.The journal entry used to record the issuance will include a debit to:

• A)Cash for $490,000,a debit to Discount on Bonds Payable for $10,000,and a credit to Bonds Payable for $500,000.
• B)Cash for $490,000,a credit to Discount on Bonds Payable for $10,000,and a credit to Bonds Payable for $500,000.
• C)Bonds Payable for $500,000,a credit to Discount on Bonds Payable for $10,000,and a credit to Cash for $490,000.
• D)Bonds Payable for $490,000,a debit to Discount on Bonds Payable for $10,000,and a credit to Cash for $500,000.

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Definitions:

Physiological Tendencies

Inherent biological or bodily inclinations that influence behavior, reactions, and physical states of an individual.

Attitudes

A psychological construct representing an individual's degree of like or dislike for an item.

Psychological Tendencies

Patterns or propensities in thought, emotion, and behavior that are characteristic of an individual, influencing their psychological responses and interactions.

Favor

An act of kindness beyond what is due or usual.