On 31 December 2013, Peterson Sales Has a Debentures Payable

On 31 December 2013, Peterson Sales has a Debentures payable balance of $40 000 and a Discount on debentures payable of $2 100. On the balance sheet, how will this information be shown?

A) $40 000 only
B) $40 000 less one- tenth of $2 100 for a net balance of $39 790
C) $40 000 plus discount for a total balance of $42 100
D) $40 000 less discount of $2 100 for a net balance of $37 900