The Journal Entry to Record a Semiannual Interest Payment on a Bond

question 78

Multiple Choice

The journal entry to record a semiannual interest payment on a bond payable issued at par:

• A)debits Interest Expense and credits Bonds Payable.
• B)debits Interest Expense and credits Cash.
• C)debits Cash and credits Interest Payable.
• D)debits Cash and credits Interest Expense.

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Definitions:

Posterior Probabilities

The probabilities of different possible outcomes or hypotheses being true after considering new evidence, rephrasing the concept in a broader context.

Prior Probabilities

The probabilities assigned to events before any new evidence is considered, often used in Bayesian analysis.

Expected Monetary Value

A calculated average of possible outcomes, where each outcome is weighted by its probability of occurrence and its monetary impact.

Optimal Act

The most efficient or effective action to achieve a desired outcome or goal.