Ruben Company purchased $100,000 of Evans Company bonds at 100 plus $1,500 in accrued interest. The bond interest rate is 8% and Interest is paid semiannually. The journal entry for the purchase would be. Oa. debit Investments-Evans Company Bonds, $100,000; credit Interest Revenue, $1,500, and Cash, $98,500 Ob. debit Investments-Evans Company Bonds, $100,000, and Interest Receivable $1,500; credit Cash, $101,500 Oc. debit Investments-Evans Company Bonds, $101,500; credit Cash, $101,500 Od. debit Investments-Evans Company Bonds, $100,000; credit Cash, $100,000

Ruben Company purchased $100,000 of Evans Company bonds at 100 plus $1,500 in accrued interest. The bond interest rate is 8% and Interest is paid semiannually. The journal entry for the purchase would be. Oa. debit Investments-Evans Company Bonds, $100,000; credit Interest Revenue, $1,500, and Cash, $98,500 Ob. debit Investments-Evans Company Bonds, $100,000, and Interest Receivable $1,500; credit Cash, $101,500 Oc. debit Investments-Evans Company Bonds, $101,500; credit Cash, $101,500 Od. debit Investments-Evans Company Bonds, $100,000; credit Cash, $100,000

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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