3 questions

Roger Technologies invests $50,000 to acquire $50,000 face value, 8%, five-year corporate bonds on January 2, 2017. The bonds will mature on January 2, 2022. The bonds pay interest semiannually on January 2 and July 2 each year until maturity. When Roger Technologies receives interest payments, how is the accounting equation affected A) assets will decrease B) total assets will remain unchanged C) liabilities will decrease D) equity will increase QUESTION 36 When a company receives interest revenue on a long-term investment in bonds, A) long-term assets decrease B) long-term assets increase C) equity increases D) current assets decrease QUESTION 37 When a company collects the face value of a long-term investment in bonds at maturity. A) total assets and equity of the firm remains unchanged B) both assets and liabilities of the firm increase both assets and equity of the firm increase D) liabilities decrease and equity increases