Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. abc company issues $1,000,000 of bonds. abc receiv

ABC Company issues $1,000,000 of bonds. ABC receives cash equal to the face value. The...

90.2K

Verified Solution

Question

Accounting

ABC Company issues $1,000,000 of bonds. ABC receives cash equal to the face value. The bonds pay 8% interest every 6 months to the bondholders. The bonds mature in 10 years. The journal entry to record the bonds would include:

A.) A debit to Cash of $1,000,000

B.) A debit to cash of $108,000

C.) A credit to bonds payable of $108,000

D.) A credit to cash of $1,000,000

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Physics
1.2K views

A 750-g disk sliding along frictionless ice with a speed of 8.5 m/s strikes a stationary...

Mechanical Engineering
1.2K views

A cylindrical bronze sleeve (2) is held in compression against a rigid machine wall by a...

Geometry
1.2K views

What is the area 4 Write your answer as a fraction or as a whole...

Calculus
1.2K views

46 Find the amplitude of the following equation Y 1 3 cos 4x A 3...

Accounting
1.2K views

Need help with #6 Reading Questions: According to the article, the RealReal is aiming...

Accounting
1.2K views

Exercise 2-1: Complete Exercise 2-1: 1. If necessary, start QBO. 2. Add New accounts to...

Accounting
1.2K views

No hand writing and pictures please. Illustrate the concept of ROI with suitable numerical...

Accounting
1.2K views

Phoenix Agency leases office space. On January 3, Phoenix incurs $101,600 to improve the leased...

Accounting
1.2K views

Adventure Travel signed a 1111%, 1010minusyear note for $ 151 comma 000$151,000. The company paid...

Accounting
1.2K views

Rayya Company purchases a machine for $168,000 on January 1, 2020. Straight-line depreciation is taken...

Accounting
1.2K views

Tempo Company's fixed budget (based on sales of 14,000 units) folllows. Fixed Budget ...

Accounting
1.2K views

MDF Company manufactures speaker systems. The company estimated there will be 56,500 units in inventory...