On January 1,2017,the Long-Term Liability section of Eden Company's balance sheet showed a balance of $35,000 in the Bonds Payable account.On December 31,2017,the balance in that same account was $20,000.This change would appear on the statement of cash flows as an

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The decrease in the Bonds Payable account represents a decrease in long-term debt, which is a financing activity. The outflow of cash represents Eden Company making payments to decrease their long-term debt, which would be recorded in the Financing Activities category on the statement of cash flows. Therefore, choice A is the best answer.

On January 1,2017,the Long-Term Liability Section of Eden Company's Balance