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Case 15.1 On June 1, 2008 ComCo Industries issues $1,000,000 of 7.5%,20-year bonds with interest dates of December 1 and June 1. ComCo's year-end is

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Case 15.1 On June 1, 2008 ComCo Industries issues $1,000,000 of 7.5%,20-year bonds with interest dates of December 1 and June 1. ComCo's year-end is December 31. The company uses the straight-line method to amortize discount or premium on bonds payable. 18) Refer to Case 15.1. Which of the following would be included in the entry to record the semiannual 18) cash payment for interest on December 1,2009 if the bonds were issued at 925/8 on June 1, 2008? A) The entry would include a $75,000 credit to cash. B) The entry would include a $39,344 debit to interest expense. C) The entry would include a $3,687 credit to discount on bonds payable. D) The entry would include both B and C

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