Apple Core sells $150,000, 5%, 10-year bonds for 96 on January 1. Interest is paid on January 1 and July 1. Straight-line amortization is used. The amount of interest expense recorded on July 1, six months after issuance is: Group of answer choices $4,500.00 $4,250.00 $4,050.00 $3,750.00 $8,500.00

Z Corp issued a 10%, $400,000, 8-year bond at 104. The entry to record the issuance of the bonds is to:

Group of answer choices

debit Cash $400,000; credit Bonds Payable $400,000.

debit Cash $400,000; debit Premium on Bonds Payable $16,000; credit Bonds Payable $416,000.

debit Cash $416,000; credit Bonds Payable $400,000; credit Premium on Bonds Payable $16,000.

debit Cash $416,000; credit Bonds Payable $416,000.

None of the choices are correct.