Molina Corporation issues 5,000, 10-year, 8%, $1,000 par value bonds dated January 1, 2017, at a price of $1,030 per bond. The journal entry to record the bond issuance will include a O a. credit to Bonds Payable for $5,000,000. O b. debit to Cash of $5,000,000. O c. debit to Premium on Bonds Payable for $150,000. O d. credit to Cash for $5,150,000.

Molina Corporation issues 5,000, 10-year, 8%, $1,000 par value bonds dated January 1, 2017, at a price of $1,030 per bond. The journal entry to record the bond issuance will include a O a. credit to Bonds Payable for $5,000,000. O b. debit to Cash of $5,000,000. O c. debit to Premium on Bonds Payable for $150,000. O d. credit to Cash for $5,150,000.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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