Question 17 Morgan Company issues 9%, 20-year bonds with a par value of $750,000 that pay interest semiannually. The amount paid to the bondholders for each semiannual interest payments. O $60,000 $33,750 $67,500 $30,000. $375,000 18 - Company issues 7%, 10-year bonds with a par vabe of 2.000.000 he market rate of interest is 8% and the band selling price corded as: uestion 18 On January 1, Parson Freight Company issues 7%, 10-year bonds with a par value of $2,000,000 The bonds pay interest semiannually. The market rate of interest is 8% and the bond selling price was $1,864,097. The bond issuance should be recorded as: Debit Cash $2,000,000; credit Bonds Payable $2,000,000 Debit Cash $1,864,097, credit Bonds Payable $1,864,097. Debit Cash $2,000,000; credit Bonds Payable $1,864,097; credit Discount on Bonds Payable $135.00 Debit Cash $1,864,097; debit Discount on Bonds Payable $135,903; credit Bonds Payable $2,00000 Debit Cash $1,864,097; debit Interest Expense $135,903; credit Bonds Payable $2.000.000