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needed all answer dont know if my answers are correct. 1) A bond is a formal debt instrument that obligates the borrower to repay a
needed all answer dont know if my answers are correct.
1) A bond is a formal debt instrument that obligates the borrower to repay a stated amount at the maturity date. This stated amount is referred to as the A) Lease. B) Interest. Principal or face amount. D) Note. 2) Yanik Corporation issues 5,000, 10-year, 8%, $1,000 bonds dated January 1, 2024, at 97. The journal entry to record the issuance will show a A) Credit to Bonds Payable $4,850,000 B) Credit to Cash $4,850,000 C) Debit to Cash $5,000,000 D) Debit to Discount on Bonds Payable $150,000 3) Term bonds are bonds: A) that mature in installments. B) that mature all at once. C) issued above the face amount. D) issued below the face amount. 5000 x 8% 4) The Titan retires a $20 million bond issue when the carrying value of the bonds is $18 million, but the market value of the bonds is $23 million. The retirement will include: A) a decrease to cash of $18 million. B) No gain or loss on retirement. C) a gain of $5 million. D) a loss of $5 million. 5) Given the information below, which bond(s) will be issued at a discount? Bond 1 Bond 2 Bond 3 Bond 4 Stated Rate of Return 6% 7% 12% 11% Market Rate of Return 5% 8% 12% 12% A) Bonds 2 and 4 B) Bond 2 C) Bond 3 D) Bond 4
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