Question 40 (2 points) Use the following information for item 40 and 41. On January 1, 2020, Golden Rams Company borrowed $100,000 from Albany State Bank and signed a five-year, 10% installment note. The note requires annual payments of $26,378, beginning on December 31, 2020. This payment consists of principal of $16,378 and interest of $10,000. The journal entry on January 1 would consist of a debit to Cash for $100,000 and a credit to Notes Payable for $100,000. True False Question 41 (2 points) Use the following information for item 40 and 41. On January 1, 2020. Golden Rams Company borrowed $100,000 from Albany State Bank and signed a five-year. 10% Installment note. The note requires annual payments of $26.378, beginning on December 31, 2020. This payment consists of principal of $16,378 and interest of $10,000. The journal entry on December 31 would consist of a debit to Notes Payable for $10.000, debit to Interest Expense for $16.378, and a credit to Cash for $26,378. True False Tu.. Use the following information for items 37, 38 and 39. On January 1, 2020, Peace Hall Corporation issued $1,000,000 of 10-year, 6% bonds for $980,000. These bonds pay interest semi-annually on June 30 and December 31. What is the journal entry to record the following transactions? Issuance of the bonds on January 1, 2020. Debit: Cash, 1,000,000; Credit: Bonds Payable, 1,000,000 Debit: Cash, 980,000 and Discount on Bonds Payable, 20,000; Credit: Bonds Payable, 1,000,000 Debit: Cash, 1,000,000: Credit: Bonds Payable, 980,000 and Premium on Bonds Payable, 20,000 Credit: Bonds Debit: Cash, 980,000 and Premium on Bonds Payable. 20.000: Payable