A5 The journal to record a $1000,000 bond issued at 102 will includea) a debit to cash for $1000,000 and a credit to bonds payable for $1000,000.b) a debit to bonds payable for $1000,000 and a credit to cash for $1000,000.c) debits to cash for $980,000 and discount for $20,000 and a credit to bonds payable for $1000,000.O d) a debit to cash for $1,020,000 and credits to bonds payable for $1000,000 and premium $20,000.

The bonds are the long-term liabilities for the business. The bonds are issued to raise the money…

The journal to record a $1000,000 bond issued at 102 will include a) a debit to cash for $1000,000 and a credit to bonds payable for $1000,000. b) a debit to bonds payable for $1000,000 and a credit to cash for $1000,000. Oc) debits to cash for $980,000 and discount for $20,000 and a credit to bonds payable for $1000,000.

The journal to record a $1000,000 bond issued at 102 will include a) a debit to cash for $1000,000 and a credit to bonds payable for $1000,000. b) a debit to bonds payable for $1000,000 and a credit to cash for $1000,000. Oc) debits to cash for $980,000 and discount for $20,000 and a credit to bonds payable for $1000,000.

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 16MC: Keys Inc. issued 100 bonds with a face value of $1,000 and a rate of 8% at $1,025 each. The journal...

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