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Taylor Insurance Company invests $250,000 to acquire $250,000 face value, 4%, five-year corporate bonds on December 31, 2024. The bonds pay interest semiannually on June
Taylor Insurance Company invests $250,000 to acquire $250,000 face value, 4%, five-year corporate bonds on December 31, 2024. The bonds pay interest semiannually on June 30 and December 31 every year until maturity. Assume Taylor Insurance Company uses a calendar year. Based on the information provided, which of the following is the journal entry for the transaction on December 31, 2025? OA. A debit to Interest Revenue for $5,000; and a credit to Cash for $5,000. OB. A debit to Cash for $5,000; and a credit to Interest Revenue for $5,000. OC. A debil to Cash for $10,000; and a credit to Interest Revenue for $10.000. OD. A debit to Interest Revenue for $10,000; and a credit to Cash for $10,000
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