Please select the correct answer.

6. Devon signed a 20-year note payable on January 1, 2018. The note requires annual principal payments plus interest. The entry to record the annual payment on December 31, 2018 includes a A. credit to Interest Expense. B. debit to Interest Expense. C. credit to Long-term Notes Payable. D. debit to Cash. Which of the following is the correct journal entry to record the issuance of a $250,000 face value bond at 95? 7. Payable Accounts Cash A. Bonds Debit Credit 237,500 B. Cash 237,500 250,000 Discount on Bonds Payable Bonds Payable 12,500 237,500 12,500 237,500 C. Cash 237,500 Discount on Bonds Payable Bonds Payable 250,000 D. Bonds Payable Cash 237,500 8. Cat Corporation's bonds payable carry a stated interest rate of 8%, and the market rate of interest is 5%. The price of the Cat's bonds will be at A. a premium. B. a discount. C. maturity value. D. par value. Jessica's Antiques issued its 4%, 20-year bonds payable at a price of $288,500 (face value is $300,000). The company uses the straight-line amortization method for the bonds. Interest expense for each year is A. $12,000. B. $11,540. C. $15,000. D. $12,575. 10. Jana's Fitness Drinks has $850,000 of 20-year bonds payable outstanding. These bonds had a discount of $42,000 at issuance, which was 8 years ago. The company uses the straight- line amortization method. The carrying amount of these bonds payable today is A. $808,000. B. $824,800. C. $833,200. D. $892,000