The Beaumont Company sold for issued 5100,000 or 20-wear, 6% contractual rate bonds for $95.000 on January 1, 2021. What entry should be made on January 1, 2021 when the bonds were issued? Debit Cash 100.000 Credit Banche Payable 95.000 and Discount on Bonds Payable 5,000 Debit Cash 100,000: Credit Bonds Payable 100.000 Debit Bonds Poble 100.000 Credit Cash 100,000 Debit Cash 95,000 and Discount on Bonds Payable 5,000. Credit Bonds Payable 100,000 -stion 7 3.85 pts ummer Corporation shows the following balance sheet presentation for the carrying value of bonds payable: Os payable $1,000,000 Discount on bonds payable_125.000 The Hammer Corporation shows the following balance sheet presentation for the carrying value of bonds payable: Bonds payable $1,000,000 Les Discount on bonds payable 125.000 $ 905.000 Which statement below is correct? The $95.000 is primarily related to the bond being a higher risk of default, The $95.000 represents the amount that was paid to bdadholders when the bonds were issued The $95.000 eventually will be amortized down to zero at the maturity date of the bonds. The $905.000 represents the amount that bondholders will be paid back when the bonds mature D Question 8 3.85 pts Question 8 A corporation purchases 10,000 of its own 510 par value common stock for $25 per share (treasury stock), recording it at cost. As a result of the purchase, what will be the effect on total stockholders equity? Increase by $250.000 Decrease by $250,000 Decrease by $100,000 Will have no effect on total stockholders' equity. 3.85 pts Question 9 Treasury stock is aln): contra asset account