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Sunny Day Company sells $350,000 of 8%, 15-year bonds for 95.848 on April 1, 2018. The market rate of interest on that day is 8.5%.
Sunny Day Company sells $350,000 of 8%, 15-year bonds for 95.848 on April 1, 2018. The market rate of interest on that day is 8.5%. Interest is paid each year on April 1. The entry to record the sale of the bonds on April 1 would be as follows: (Intermediary and final answer calculations are rounded to the nearest whole number.) A. Cash 335,468 14,532 Discount on Bonds Payable Bonds Payable 350,000 B. Cash 335,468 Bonds Payable 335,468 O c. Cash 350,000 Discount on Bonds Payable 14,532 Bonds Payable 335,468 OD. Cash 350,000 Bonds Payable 350,000
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