The entry to record the issuance of bonds at face value includes

Question

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When bonds are issued at face value, there is no premium or discount to be recorded. The entry to record the issuance includes a debit to Cash and a credit to Bond Payable, which represents the face value of the bonds. There is no entry required for Bond Interest Payable or Bond Interest Expense at this point. The interest expense will be recorded over the life of the bonds as interest payments are made.

The Entry to Record the Issuance of Bonds at Face