Final answer:
The issuance of a non-interest bearing note for $49,000 should be recorded for the present value of the note. Since the note is non-interest bearing, it is issued at a discount based on the effective interest rate and the maturity period.
Step-by-step explanation:
When Bluebird, Inc. issued a 9-month, 6% non-interest bearing note for $49,000 to the bank, the correct treatment for the issue of this note would typically be a debit to cash and a credit to notes payable for the present value of the note. The face value is $49,000, but since the note is issued at a discount (non-interest bearing), the present value will be less.
The present value is calculated by discounting the face value of the note by the effective interest rate over the life of the note. To find the discount, we use the formula Face Value x [(1 + (Interest Rate x (Days to Maturity / 360))]-1, this would give us the present value which then can be subtracted from the face value to find the discount.
However, the information provided in the choices and question structure suggests a specific accounting treatment or educational scenario, not standard practice. The debit amounts provided in options b and d appear to have been pre-calculated based on undisclosed parameters or a particular instructional methodology.
Since we lack the necessary detail about how these numbers were derived or the context they are being used in, it's not possible to confidently choose the correct debit entry solely based on standard accounting practices.