On October 1, Indiana Company issued $40.000, 10%, 5-year bonds at 102. What is the adjusting entry on December 31 uning the straight-line method? Bond Interest Expense 1,000 Bond Interest Payable 1.000 Bond Interest Expense 1.040 Premium on Bonds Payable 40 Bond Interest Payable 1.000 Bond Interest Expense 19.000 Bond Interest Payable 4,000 Bond Interest Expense 960 Premium on Bonds Payable 40 Bond Interest Payable 1.000 QUESTION 36 Bonds that may be redeemed at a cortain price level are known as: debanture bonds serial bonds. term bonds callable bonds QUESTION 37 An outflow of cash from Investing activities would be the sale of investment in equity securities interest received on loans the purchase of fixed assets the issuance of stock