Bonds Payable (Word Scramble)

1. Bond __________ usually occurs every six months.

2. A bond's principal comes due on the bond's ____________ date.

3. A bond is reported on the issuer's balance sheet as a __________.

4. A bond that is not secured by property.

5. If a bond is issued for less than its face value, ________ on Bonds Payable is recorded.

6. If a bond is issued for more than its face value, ___________ on Bonds Payable is recorded.

7. The market interest rate and the yield-to-maturity should be the same as the __________ interest rate.

8. A bond __________ fund is an asset restricted for the retirement of bonds.

9. Bonds maturing on a single date are referred to as _______ bonds.

10. The _________________ of the premium on bonds payable will reduce interest expense.

11. The legal document that provides details about a bond.

12. Interest on bonds is usually paid __________________.

13. Bondholders' claims will come ahead of the claims of ___________________ if a corporation is liquidated.

14. If bonds are sold between interest dates, the buyer will pay the seller any _________ interest.

15. A bond sinking fund is reported in this section of the balance sheet.

16. The amortization of _________ on Bonds Payable will result in more bond interest expense than the cash amount of interest paid.

17. __________ on Bonds Payable will cause the carrying value of the bonds to be greater than the face value.

18. In present value terms, a bond's interest payments form an ordinary __________.

19. Most bonds are __________ by the issuing corporation at a price specified in the bond's indenture.

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.