Bonds payable should be reported as a long-term liability in the balance sheet of the issuing corporation at the:
A) Face amount price less any unamortized discount or plus any unamortized premium.
B) Current bond market price.
C) Face amount less any unamortized premium or plus any unamortized discount.
D) Face amount less accrued interest since the last interest payment date.

Question

Quizplus · Accepted Answer

Bonds payable are reported as a long-term liability at the face amount less any unamortized discount or plus any unamortized premium, reflecting the actual amount the issuer expects to pay at maturity adjusted for the amortization of any initial discounts or premiums.

Bonds Payable Should Be Reported as a Long-Term Liability in the Balance