GAAP standards maintain a general requirement for consistent, comparable presentation, using consistent formatting and terminology across time periods and among the financial statements. The level of reporting must be disclosed on the balance sheet so that the reader knows if the balance sheet is consolidated or a parent-only balance sheet. Bonds payable refers to the amortized amount that a bond issuer holds on its balance sheet. It is considered a long-term liability The amount of outstanding bonds with a maturity of over one year issued by a company. On a balance sheet, the bonds payable account indicates the face value of the company’s outstanding bonds.

Municipal Bonds and Pension Liabilities: Reporting Changes Ahead. By Dana Sparkman. Municipal bonds are a key component of most bank investment portfolios. In recent years, credit risk and credit risk analysis for municipal issuers have become hot topics for bankers and regulators alike. Chapter 14: Long-Term Liabilities: Bonds and Notes 43. The balance in a bond discount account should be reported on the balance sheet as a deduction from the relatedbonds payable. 44. The balance in Premium on Bonds Payable should be reported as a deduction from Bonds Payable on the balancesheet. a. True b.