The Journal Entry a Company Records for the Issuance of Bonds

question 142

Multiple Choice

The journal entry a company records for the issuance of bonds when the contract rate is greater than the market rate would be

• A) debit Bonds Payable, credit Cash
• B) debit Cash and Discount on Bonds Payable, credit Bonds Payable
• C) debit Cash, credit Premium on Bonds Payable and Bonds Payable
• D) debit Cash, credit Bonds Payable

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Definitions:

Outdated Information

Information that is no longer accurate, relevant, or current, thus potentially misleading or useless.

Fresh Content

Newly created or updated information or media that offers novel perspectives, ensuring engagement and relevance to the audience.

Stating Limitations

The act of acknowledging or identifying the boundaries, constraints, or weaknesses of a particular argument, method, or study.

Poor Research

Research that lacks thoroughness, accuracy, or relevance, leading to unreliable or questionable findings.