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Question
On January 1, 2013, Jacob issues $600,000 of 11%, 15-year bonds at a price of 102. What is the journal entry to record the issuance of these bonds?
A.
| Cash | 600,000 | |
| Bonds Payable | 600,000 |
B.
| Bonds Payable | 600,000 | |
| Cash | 600,000 |
C.
| Cash | 615,000 | |
| Bonds Payable | 600,000 | |
| Premium on Bonds Payable | 15,000 |
D.
| Cash | 600,000 | |
| Premium on Bonds Payable | 15,000 | |
| Bonds Payable | 615,000 |
E.
| Cash | 600,000 | |
| Discount on Bonds Payable | 9,000 | |
| Bonds Payable | 609,000 |
Answer
This answer is hidden. It contains 77 characters.
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