35. Which of the following is true of the Discount on Bonds Payable account?

A. It is subtracted from the Bonds Payable balance and shown with the current liabilities on the balance sheet.

B. It is added to the Bonds Payable balance and shown with stockholders' equity on the balance sheet.

C. It is added to the Bonds Payable balance and shown with long-term liabilities on the balance sheet.

D. It is subtracted from the Bonds Payable balance and shown with long-term liabilities on the balance sheet.

36. Get Out of Town Vacations signed a 12%, 10-year note for $151,000. The company paid an installment of $2,200 for the first month. What portion of the first monthly payment is interest expense? (Do not round any intermediate calculations, and round your final answer to the nearest dollar.)

A. $30,703

B. $1,510

C. $690

D. $14,783