Question

The journal entry a company records for the payment of interest, interest expense, and amortization of bond discount is debit Interest Expense, credit Cash and Discount on Bonds Payable debit Interest Expense, credit Interest Payable and Discount on Bonds Payable debit Interest Expense, credit Cash debit Interest Expense and Discount on Bonds Payable, credit Cash

Answer 1

Debit Interest Expense, credit Cash and Discount on Bonds Payable.

Step-by-step explanation:

The journal entry that a company needs to record for payment of interest is: a debit to the interest receivable account and a credit to the interest income account.

The journal entry that a company needs to record for interest expense is: a debit to interest expense and a credit to cash.

The journal entry that a company needs to record for interest expense is: a debit to interest expense and a credit to discount on bonds payable.