Bonds Payable

If you have difficulty answering the following questions, learn more about this topic by reading our Explanation of Bonds Payable.

NOTE: To see each answer, place your cursor in the middle of the cell under "Unscrambled Answer".

	Word Clue	Scrambled Answer	Unscrambled Answer
1.	Bond __________ usually occurs every six months.	TESIETNR	INTEREST
2.	A bond's principal comes due on the bond's ____________ date.	TAUYMTIR	MATURITY
3.	A bond is reported on the issuer's balance sheet as a __________.	YLIBTILAI	LIABILITY
4.	A bond that is not secured by property.	ERTBNUEDE	DEBENTURE
5.	If a bond is issued for less than its face value, ________ on Bonds Payable is recorded.	USITODNC	DISCOUNT
6.	If a bond is issued for more than its face value, ___________ on Bonds Payable is recorded.	MUIRMPE	PREMIUM
7.	The market interest rate and the yield-to-maturity should be the same as the __________ interest rate.	FCEEFEIVT	EFFECTIVE
8.	A bond __________ fund is an asset restricted for the retirement of bonds.	GISNNIK	SINKING
9.	Bonds maturing on a single date are referred to as _______ bonds.	ETMR	TERM
10.	The _________________ of the premium on bonds payable will reduce interest expense.	NOZRMITAAOTI	AMORTIZATION
11.	The legal document that provides details about a bond.	TRUDENINE	INDENTURE
12.	Interest on bonds is usually paid __________________.	ALIMEYLUNASN	SEMIANNUALLY
13.	Bondholders' claims will come ahead of the claims of ___________________ if a corporation is liquidated.	DOTSCROSKLEH	STOCKHOLDERS
14.	If bonds are sold between interest dates, the buyer will pay the seller any _________ interest.	RECDUAC	ACCRUED
15.	A bond sinking fund is reported in this section of the balance sheet.	MSTENVINEST	INVESTMENTS
16.	The amortization of _________ on Bonds Payable will result in more bond interest expense than the cash amount of interest paid.	STUDIONC	DISCOUNT
17.	__________ on Bonds Payable will cause the carrying value of the bonds to be greater than the face value.	MIMEPUR	PREMIUM
18.	In present value terms, a bond's interest payments form an ordinary __________.	INTAYUN	ANNUITY
19.	Most bonds are __________ by the issuing corporation at a price specified in the bond's indenture.	LLACEALB	CALLABLE
20.	When the amount of amortization of discount or premium on bonds payable is the same amount each year, it is referred to as ______________-line amortization.	HRITATGS	STRAIGHT

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