Financial liability treatment Q Bank question liability, following, investing, question

Rasec

An analyst is considering a bond with the following characteristics:
Face value = $10.0 million
Annual coupon = 5.6%
Market yield = 6.5%
5 year maturity
At issuance the bond will:
A) increase total assets by $9.626 million.
B) increase total liabilities by $10.0 million.
C) provide cash flow from investing of approximately $9.626 million.
D) result in the creation of an amortization on bond premium account in the amount of approximately $0.374 million.
Your answer: D was incorrect. The correct answer was A) increase total assets by $9.626 million.
First we must determine the present value of the bond. FV = 10,000,000, PMT = 560,000, I/Y = 6.5, N = 5, Compute PV = 9,625,989, or approximately $9.626 million. The entries to record the issue (all in $ million) are: increase (debit) to cash of 9.626, an increase (debit) to unamortized bond discount of 0.374, and an increase (credit) in longtermdebt liability of 10.0. At issuance, the university will receive cash flow from financing of $9.626 million.
Now I understand why D isn’t right but everything I have read says “Debt equals the PV of the remaining future stream of payments”. Is this just stating the entries prior to the assumed netting out on the liability side? The unamortized bond discount better be a liability entry or I’m gonna be really confused.
I thought we simply entered the bond at PV as a single entry?????

yuoska

I think that might be an error.
B. Wrong Cause that would be issued at PAR
C. Wrong CFF would increase no CFI
D. Wrong  Discount bonds there is no premium
A. Increase Liab. by the PV on the issue