To the Nearest Dollar, What Is the Carrying Amount of the Bonds

question 77

Multiple Choice

To the nearest dollar, what is the carrying amount of the bonds after the first interest payment?

• A)$ 506,357
• B)$ 507,802
• C)$ 499.191
• D)$ 575,000

---

Definitions:

Partners' Capital Statement

A financial statement that shows the changes in each partner’s equity in the business over a specific period of time.

Drawings

Withdrawals of cash or other assets from a business by the owner for personal use.

Capital Statement

A financial statement that outlines the changes in owners' equity over a specific period.

Drawings

Withdrawals made by an owner from the business for personal use, reducing the capital account of the owner.