Pix co issued bonds at the price of 0.97 which were at face value $ 200,000....
Pix co issued bonds at the price of 0.97 which were at face value $ 200,000. Because of this version, then:
a Assets and liabilities increased by $ 200,000
b Assets and liabilities increased by $194000
c Assets increased by $194,000 and liabilities decreased by $
200,000
d Assets increased by $ 200,000 and liabilities increased by $
194000
Homework Answers
Cash = 200000*0.97 = $194,000
Bonds payable = $200,000
Less: Discount on bonds payable (6000)
Net liability = $194000
Assets and liabilities increased by $194000.
Option b. is correct answer.
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Pix co issued bonds at the price of 0.97 which were at face value $ 200,000....
Tex co issued bonds at the price of 0.97, which is at face value $ 200,000,000....
Tex co issued bonds at the price of 0.97, which is at face value $ 200,000,000. This version will affect the accounting equation to: Group of answer choices Assets and liabilities will both increase by $ 194 million. Assets will increase by $ 200,000,000 and liabilities will increase by $ 194 million. Assets and liabilities will both increase by $ 200,000,000. Assets will increase by $ 194,000,000 and debt will increase by $ 200,000,000.
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