Question
(1 point) Svet Corporation issues 12-year bonds with a face value of $14,000,000 and a stated annual interest rate of 5%. The bonds pay
(1 point) Svet Corporation issues 12-year bonds with a face value of $14,000,000 and a stated annual interest rate of 5%. The bonds pay interest annually on December 31. The market rate of interest on the date of issue is 8%. What journal entry will the company make to record the bond issue? O Dr. Cash 14,000,000 Cr. Premium on Bonds Payable 3,165,153 Cr. Bonds Payable 10,834,847 Dr. Cash 10,798,138 Dr. Discount on Bonds Payable 3,201,862 Cr. Bonds Payable 14,000,000 Dr. Cash 14,000,000 Cr. Bonds Payable 14,000,000
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