TryNErr Corporation issued $1,000,000 of ten-year, 10% bonds payable. The market rate of interest at that time was 11%. The journal entry to record this transaction will include a: credit to Bond Premium. debit to Bond Discount. credit to Bond Discount. O credit to Cash.

TryNErr Corporation issued $1,000,000 of ten-year, 10% bonds payable. The market rate of interest at that time was 11%. The journal entry to record this transaction will include a: credit to Bond Premium. debit to Bond Discount. credit to Bond Discount. O credit to Cash.

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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Question

TryNErr Corporation issued $1,000,000 of ten-year, 10% bonds payable.
The market rate of interest at that time was 11%. The journal entry to
record this transaction will include a:
O credit to Bond Premium.
debit to Bond Discount.
O credit to Bond Discount.
O credit to Cash.

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