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On January 1, 2021, X Company issues $100,000 worth of bonds for 10 years, interest payable annually. The stated interest rate is 8% and the

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On January 1, 2021, X Company issues $100,000 worth of bonds for 10 years, interest payable annually. The stated interest rate is 8% and the market interest rate is 7%. The adjusting journal entry to record interest expense on December 31, 2021 will include a. Debit to Premium for $508. b. Debit to Interest Expense for $8,000. Credit to Discount for $508. d. Debit to Cash for $8,000. C. a d

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