The Balance in the Bonds Payable Account Is a Credit

question 95

True/False

The balance in the Bonds payable account is a credit of $50,000.The balance in the Discount on bonds payable is a debit of $1,500.The balance sheet will report the bond balance as $48,500.

---

Definitions:

Replacement Cost

The amount required to replace an asset at current prices, ensuring similar functionality or capacity.

Inventory Turnover

A measure of how many times a company's inventory is sold and replaced over a certain period, indicating the efficiency of inventory management.

LIFO

In the Last In, First Out method, the newest items in the inventory are the first to be sold.

Inventory Turnover

A financial ratio that measures the number of times a company sells and replaces its stock of goods during a given period, indicating efficiency in inventory management.