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Casey issued bonds for $20,000 at 12% face value on July 1. 12% interest payments are due January 1 ...

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Casey issued bonds for $20,000 at 12% face value on July 1. 12% interest payments are due January 1 ...

Casey issued bonds for $20,000 at 12% face value on July 1. 12% interest payments are due January 1 and July 1. What is the adjusting entry on December 31?
A) Bond Interest Expense    1200
Bond Interest Payable   1200

B) Bond Interest Payable   1400
Bond Interest Expense   1400

C) Bond Interest Expense   200
Bond Interest Payable   200

D) Bond Interest Expense   2400
Bond Interest Expense   2400

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College Accounting: A Practical Approach

Edition: 13^th

Author: Slater

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