Question
XYZ Company acquires 80, 10%, 5 year, 1,000 Wynn bonds on January 1, 2017 for 80,000. Assume Wynn pays interest each January 1. The entry
XYZ Company acquires 80, 10%, 5 year, 1,000 Wynn bonds on January 1, 2017 for 80,000. Assume Wynn pays interest each January 1. The entry to record the January 1 annual interest payment would include a
a. debit to Interest Revenue for $8,000.
b. credit to Interest Receivable for $8,000.
c. credit to Interest Revenue for $8,000.
d. credit to Debt Investments for $8,000.
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Survey of Accounting
Authors: Thomas P. Edmonds, Frances M. McNair, Philip R. Olds, Bor Yi
3rd Edition
978-1259683794, 77490835, 1259683796, 9780077490836, 978-0078110856
