Question 12 Gulf Company issued bonds with par value of $500,000 for cash of $530,000. What is the account's name and type representing the difference between par value and issue price? O A A bond premium; a contra asset account O B. A bond discount; contra equity account. OC A bond premium; an adjunct account. O D. A bond discount; a contra liability account.

Question 12 Gulf Company issued bonds with par value of $500,000 for cash of $530,000. What is the account's name and type representing the difference between par value and issue price? O A A bond premium; a contra asset account O B. A bond discount; contra equity account. OC A bond premium; an adjunct account. O D. A bond discount; a contra liability account.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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