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Acme, Inc. has $100,000 of 10% bonds payable that mature in five years. The company issues these bonds at face value on January 1, 2019.
Acme, Inc. has $100,000 of 10% bonds payable that mature in five years. The company issues these bonds at face value on January 1, 2019. What is the journal entry to record the issuance of these bonds? a) Debit Cash $100,000 Credit Bonds Payable $100,000 b) Debit Bonds Payable $100,000 Credit Cash $100,000 c) Debit Cash $100,000 Debit Bonds Payable $100,000 Credit Bonds Payable $100,000 d) Debit Interest Expense $5,000 Credit Cash $5,000
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