Suppose a company issues $500,000 of 4% bonds, due in 5 years, with interest payable semiannually. The bonds are issued at face amount. What would the company record at the time of the first semi-annual interest payment?

Suppose a company issues $500.000 of 4% bonds, due in 5 years, with interest payable semiannually, The bonds are issued at face amount. What would the company record at the time of the first semirannual interest payment? Muliple Chatce Doblt interest Expense $20,000; credt Cash $20,000 Debl Bonds Payoble sio,000; credit Cesh 510,000 . Debit 8 onds Payable $20,000; credit Cash $20,000 Debit interest Expense 510,000 , ciodit Cosh $10.000