To raise cash, ACE company issued $8,000,000 face value, 10 -year, 12% bonds on March 1,20X1 when the market rate of interest was 12%. Interest payments are due every September 1 and March 1 . The company follows a calendar year. What is the affect of this entry on the Accounting Equation Increase cash, and increase capital stock. Increase cash, and decrease bonds payable. Increase bonds payable, and increase notes payable. Increase cash, and increase bonds payable