Answer :
Based on the information the appropriate journal entry to record the transaction is : Debit to cash of $100,000; Credit to bonds payable of $100,000.
Based on the information given we were told that the cash amount of $100,000 cash was received my the company in exchange for issuing 100 bonds at their $1,000 face value.
Therefore the correct journal entry to record the transaction is:
Debit Cash $100,000
Credit Bonds payable $100,000
(To record bonds payable)
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