An Increase in the Bonds Payable Account of $200,000 Over

Multiple Choice

An increase in the bonds payable account of $200,000 over the course of a year would be shown on the company's statement of cash flows prepared under the indirect method as:

A) an addition of $200,000 under investing activities.
B) a deduction of $200,000 under investing activities.
C) an addition of $200,000 under financing activities.
D) a deduction of $200,000 under financing activities.