The balance in the Bonds Payable account is a credit of $67,000.The balance in the Discount on Bonds Payable account is a debit of $2,650.The bond's carrying amount is $64,350.

Question

Quizplus · Accepted Answer

This is because the carrying amount of the bond ($64,350) is calculated as the face value ($67,000) minus the discount ($2,650). Therefore, the given information is consistent with the formula for calculating the carrying amount of a bond.

The Balance in the Bonds Payable Account Is a Credit