Reporting Issuance and Retirement of Long-Term Debt

On the basis of the details of the following bonds payable and related discount accounts, indicate the items to be reported in the Financing Activities section of thestatement of cash flows, assuming no gain or loss on retiring the bonds:

ACCOUNTBonds PayableACCOUNT NO.BalanceDateItemDebitCreditDebitCreditJan.1Balance750,0002Retire bonds150,000600,000June30Issue bonds450,0001,050,000

ACCOUNTDiscount on Bonds PayableACCOUNT NO.BalanceDateItemDebitCreditDebitCreditJan.1Balance33,7502Retire bonds12,00021,750June30Issue bonds30,00051,750Dec.31Amortize discount2,62549,125