we report interest paid on bonds or notes payable with operating activities rather than financing activities. group startstrue or false true, unselected false, unselected

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20-12-2022
Business

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we report interest paid on bonds or notes payable with operating activities rather than financing activities. group startstrue or false true, unselected false, unselected

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Qwclear Qwclear · Answer 1 · 2022-12-25T10:34:51-05:00

The statement about the interest paid on bonds or notes payable with operating activities is a True statement.

Interest on bonds are paid on bonds by the borrower to the issuer of the bond as a amount of compensation towards the issuer. An issuer issues a bond to the borrower at an interest rate. After some time the bond gets matured and the issuer earns a interest rate from the bond as an extra amount of money. Bonds are form of investments which can be bought or sold. Bonds can be purchased by individuals or by organizations running business. The period after which the bond gets matured is called the maturity period of the bond and the extra amount or interest is paid on addition to the principle amount.

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