In the Balance Sheet the Account Premium on Bonds Payable

question 83

Multiple Choice

In the balance sheet the account Premium on Bonds Payable is

• A) added to bonds payable.
• B) deducted from bonds payable.
• C) classified as a stockholders' equity account.
• D) classified as a revenue account.

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Definitions:

Exponential Functions

Mathematical functions describing growth or decay at rates proportional to the value of the function at any point in time.

Present Value

The present value of a future sum or cash flow series, considering a determined rate of return.

Compound Interest

Interest on both the initial principal and the interest that has been added to this principal.

Order Of Operations

The rules determining the sequence in which operations (addition, subtraction, multiplication, and division) should be carried out in a mathematical expression.