Genesis reported that bonds with a face value of $100,000 and a carrying value of$67,000 are retired for $60,000 cash, resulting in a loss of $7,000. The amount to be reported in the financing section is:
A) $57,000.
B) $3,000).
C) $58,000.
D) $60,000.
E) This item is not reported.

Question

Quizplus · Accepted Answer

The cash paid to retire the bonds, $60,000, is reported in the financing section of the cash flow statement.

Genesis Reported That Bonds with a Face Value of $100,000