When bonds are retired, the Bonds Payable account is credited for face value even if the bonds were originally sold at a premium.

Name: When bonds are retired, the Bonds Payable account is credited for face value even if the bonds were originally sold at a premium.
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When bonds are retired, the Bonds Payable account is debited for the face value, not credited. The premium or discount is also adjusted in the retirement process.

When Bonds Are Retired, the Bonds Payable Account Is Credited