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What would be the required journal entry on the date of issuance if a company issues $100,000 five-year, 10% bond for $96,231 and the interest
What would be the required journal entry on the date of issuance if a company issues $100,000 five-year, 10% bond for $96,231 and the interest is to be paid semiannually?
A. debit (1) Premium on Bonds Payable $376.90 and credit (2) Interest Expense $376.90
B. debit (1) Premium on Bonds Payable $3,769 and credit (2) Discount on Bonds Payable $3,769
C. debit (1) Bonds Payable $3,769 and (2) credit Interest Expense $3,769
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