Charleston Corporation made the following entry it its general journal on 12/31/13: 
Which of the following answers describes the above transaction?
A) Charleston issues bonds with a face value of $5,400 for $5,000 cash.
B) Charleston records interest expense and amortization of discount on bonds payable.
C) Charleston records annual interest and amortization of premium on bonds.
D) Charleston redeems callable bonds when the carrying value is $5,400.
Correct Answer:
Verified
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