If Bonds with a Face Value of $200,000 Are Converted

question 182

Multiple Choice

If bonds with a face value of $200,000 are converted into common stock when the carrying value of the bonds is $155,000,the entry to record the conversion would include a debit to:

• A)Bonds Payable for $155,000.
• B)Bonds Payable for $200,000.
• C)Discount on Bonds Payable for $45,000.
• D)Cash for $45,000.

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Definitions:

Pancreas

A gland located behind the stomach that plays a crucial role in digestion and insulin production.

Malignancy

Malignancy refers to the presence of cancerous cells that have the ability to grow uncontrollably and spread to other parts of the body.

Face Cancer

A generic term for cancers that develop in the skin or tissues of the face, potentially including melanoma, squamous cell carcinoma, or basal cell carcinoma.

Specific Site

Refers to a precise location, often used in medical contexts to describe the exact location of a disease, condition, or injury within the body.