Question 12 3 pts On June 1, 2020, Fishing Monthly Magazine received $3.000 from Bemis, Inc. for a twelve-month subscription. What adjusting journal entry should Fishing Monthly Magazine record on December 31, 2020? O DR: Subscription Expense 3,000 CR: Prepaid Expenses 3,000 O DR: Service Revenue 1.750 CR: Deferred Revenue 1.750 O DR: Deferred Revenue 1.750 CR Service Revenue 1.750 O DR: Cash 1,750 CR: Service Revenue 1.750 Question 13 3 pts Why are time value of money factors used to calculate the issuance price of a bond? O Bond investors receive future cash flows and purchase bonds with current dollars Cash interest payments to bondholders will change as market rates change Interest rates fluctuate in the market, but Accounting requires precision for reporting purposes The company might choose to repay the bonds prior to their maturity date UESTION Ralphie is nearing retirement and is considering an annuity offer from California Avily sales como which promises to pay him 390.000 on the last day of each year for 20 yan or Rolehe believes that he could earn om the invested this money mell, the present value to Ralphie of this offerie $3.310.00 31.032 293 $1.000.000 $2.862 Question 15 Marvin Corp. sold $700,000 in face value bonds on January 1, 2020 and it received 5663.200 in cash from the issuance. Those bonds soldata Discount Par Value Not Enouch Information to Determine Premium D Question 16 3 pts If market conditions cause interest rates on bonds of similar maturity and riskiness to go down after Bosnian Furs Corp. issues $1,900.000 in bonds, the cash interest payments paid to Bosnian Furs bondholders after the interest rates change will Decrease Increase Decrease only if the bondholders bring a class-action law suit Remain the same 3 pts D Question 17 The cash received by a corporation issuing bonds will equal: The maturity payment plus the interest payments The present value of the stream of interest payments plus the present value of the maturity payment The present value of the interest payments The present value of the interest payments plus the face value of the bonds