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Business & Finance Assignment | Custom Assignment Help

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December 9th, 2019

On January 1, Hurley Corporation issues $2,000,000, 5-year, 12% bonds at 96 with interest payable on July 1 and January 1. The entry on December 31 to record accrued bond interest and the amortization of bond discount using the straight-line method will include a: a. debit to Interest Expense, $120,000. b. debit to Interest Expense, $240,000. c. credit to Discount on Bonds Payable, $8,000. d. credit to Discount on Bonds Payable, $16,000.

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