On January 1,2012,Davie Services Issued $20,000 of 8% Bonds That

Multiple Choice

On January 1,2012,Davie Services issued $20,000 of 8% bonds that mature in five years.They were sold at discount,for a total of $19,000.On January 1,2017,when the bonds mature,Davie Services will make the final principal payment.That entry will be which of the following?

A) Debit Bond discount for $1,000 and credit Cash for $1,000.
B) Debit Bonds payable for $19,000 and credit Cash for $1,000.
C) Debit Bonds payable for $20,000 and credit Cash for $20,000.
D) Debit Bonds payable for $19,000, debit Bond discount for $1,000 and credit Cash for $19,000.