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 the statement of cash flows, assuming no gain or loss on retiring the bonds: ACCOUNT Bonds Payable ACCOUNT NO. Balance Date Item Debit Credit Debit Credit Jan. 1 Balance 600,000 Jan. 2 Retire bonds 120,000 480,000 840,000 June 30 Issue bonds 360,000 ACCOUNT Discount on Bond Payable ACCOUNT NO. Balance Date Item Debit Credit Debit Credit Jan. 1 Balance 27,000 Jan. 2 Retire bonds 9,600 17,400 June 30 Issue bonds 24,100 41,500 Dec. 31 Amortize discount 2,080 39,420 Item Section of Statement of Cash Flows Added or Deducted Amount Retire bonds Issue bonds Amortization of discount