On the maturity date of a bond investment,the journal entry includes ________.

Question

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On the maturity date of a bond investment, the journal entry includes a debit to Cash and a credit to Held-to-Maturity Debt Investments to reflect the repayment of the principal amount of the bond. There is no gain or loss on disposition as the bond is held to maturity. Interest revenue is recorded throughout the period the bond was held and is not part of the journal entry on the maturity date. Long-term investments are not specifically related to a bond investment and would not be credited in this journal entry.

On the Maturity Date of a Bond Investment,the Journal Entry