The Balance in the Bonds Payable Account Is a Credit

question 191

Multiple Choice

The balance in the Bonds Payable account is a credit of $75,000.The balance in the Discount on Bonds Payable account is a debit of $2,900.What is the bond's carrying amount?

• A)$2,900
• B)$77,900
• C)$75,000
• D)$72,100

---

Definitions:

Operating Activities

Financial transactions and events that affect the net income of a business.

Accounts Payable

The amount of money a company owes to its suppliers or creditors for goods and services received but not yet paid for, typically due within a year.

Net Income

The total profit or loss of a company after all revenues, costs, and expenses have been accounted for, over a specific period.

Operating Activities

The core revenue-generating activities of a business, including production, sales, and delivery of the company's product and services.