Question
On January 1, 2018, Ailey Company purchased a $30,000, 8% bond, at face value. Interest is paid annually each January 1. The entry related to
On January 1, 2018, Ailey Company purchased a $30,000, 8% bond, at face value. Interest is paid annually each January 1. The entry related to this investment on December 31, 2018, would include a
a. Debit to Interest Revenue for $2,400
b. Credit to Interest Expense for $2,400
c. Credit to Cash for $2,400
d. Debit to Interest Receivable for $2,400
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Financial Accounting
Authors: Robert Libby, Patricia Libby, Daniel G. Short
3rd Edition
0072458836, 978-0072458831
