Question: A company issues bonds at 98, with a maturity value of $50,000. The entry the company uses to record the original issue should include which

A company issues bonds at 98, with a maturity value of $50,000. The entry the company uses to record the original issue should include which of the following? A credit to bonds payable of $49,000. OOO O A debit to bond discount of $1,000. A credit to bond premium of $1,000 A debit to bonds payable of $50,000

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

10. On January 1, a company issued a $50,000 face amount, 8% 5-year bond for $46,139 that will yield 10%. Interest is payable on June 30and December 31 What is the bond carrying amount on December 31...

11. A company issues bonds at 98, with a maturity value of $50,000. The entry the company uses to record the original issue should include which of the following? a. A debit to bond discount of...

A company issues bonds at 98, with a maturity value of $50,000. The entry the company uses to record the original issue should include which of the following? A debit to bond discount of $1,000. A...

c11 A company issues bonds at 98, with a maturity value of $50,000. The entry the company uses to record the original issue should include which of the following? Multiple Choice A debit to bond...

A company issues bonds at 98, with a maturity value of $60,000. The entry the company uses to record the original issue should include a debit to Discount on Bonds Payable for what amount? #44

A company issues bonds at 98, with a maturity value of $50,000. What journal entry will the company use to record the original issue (use XXX if you lack an amount)? 12

8. Album Co issued 10-year $200.000 debenture bonds on January 2 discounts. The carrying amount of the bonds on January2 $13,016 and credting cash for $12.000. What is the carryinge effective...

Please show the work for the questions where it is asked. Thank you. 1. Ginger Inc. has outstanding 7%, 5-year $100,000 face bond. The effective rate at the time this bond was sold, On 1/1/14, was...

Which of the following is not correct about the Enron scandal? a. Management used a ranking system to evaluate employee performance and fired underperformers b. The company used aggressive accounting...

Auditors are not qualified to pass on the legality of a bond issue; this is a question for the companys attorneys. It is therefore unnecessary for the auditors to inspect the bond indenture....

Question 3 : How important is growth to a stock s value? Illustrate with examples. In addition, under what conditions would the constant growth rate model not be appropriate? Explain why using the P...

last two options for the multiple choice are : performance management development A construction equipment manufacturer, Roswell Corporation, is focusing on becoming a leader in sustainability in...

2. Consider a group to which you belongyour communication class, your family, your religious community, and so on. Draw a chart that depicts members of the group and the patterns of communication...

4. Consider the adjourning phase of group development for a group you were part of that disbandedScouts, a sports team, the school newspaper staffand think about what aspects of the group made for...

4. Explain how a groups cohesion, norms, and individual differences affect group processes and outcomes