EX 16-14 Reporting issuance and retirement of long-term debt OBJ. 2 On the basis of the details of the following bonds payable and relate indicate the items to be reported in the financing activities section of ving bonds payable and related discount accounts, cash flows, assuming no gain or loss on retiring the bonds: financing activities section of the statement of ACCOUNT Bonds Payable ACCOUNT NO. Balance Date Item Debit Credit Debit Credit Jan. Balance 750,000 2 Retire bonds 150,000 600,000 30 Issue bonds 450,000 1,050,000 ACCOUNT Discount on Bonds Payable ACCOUNT NO. Date Balance Debit Credit Item Debit Credit Jan. 1 12,000 June Dec. Balance Retire bonds Issue bonds Amortize discount 30 31 33,750 21,750 51,750 49,125 30,000 2,625