The Journal Entry to Record Amortization of a Bond Premium

question 109

Multiple Choice

The journal entry to record amortization of a bond premium on a held-to-maturity investment includes a:

• A)debit to Interest Revenue and a credit to Investment in Bonds.
• B)debit to Investment in Bonds and a credit to Interest Revenue.
• C)debit to Cash and a credit to Interest Revenue.
• D)debit to Cash and a credit to Investment in Bonds.

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Definitions:

Participant Observation

A methodology associated with ethnography whereby the researcher both observes and becomes a member in a social setting.

Everyday Lives

The daily existence or routine of individuals, encompassing all mundane activities, interactions, and experiences.

Stereotypes

Oversimplified generalizations about groups of people that may not accurately reflect reality, often leading to prejudiced attitudes.

Informed Consent

A safeguard through which the researcher makes sure that respondents are freely participating and understand the nature of the research.