The Discount on Bonds Payable account is classified as a(n):
A)asset.
B)contra-liability.
C)expense.
D)contra-asset.

Name: The Discount on Bonds Payable account is classified as a(n): A)asset. B)contra-liability. C)expense. D)contra-asset.
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Discount on Bonds Payable is a contra account to Bonds Payable.As a result,the balance in the Discount on Bonds Payable is subtracted from Bonds Payable to arrive at the carrying value of the bonds,which is reported on the balance sheet.

The Discount on Bonds Payable Account Is Classified as A(n)