This is a test of commonsense with single/multi-choices. Complete the next sentence:

How to account for bonds
Set up a bonds payable account.
When a corporation issues a bond, they are essentially taking out loans from bondholders. The bond issuer must then make accounting entries to recognize the receipt of cash and the amount owed to bondholders.

Available choices: (A). The account can then be distributed over the preceding three years. One of the time periods will be until the bond issuer makes accounting reports. (B). The amount owed back to bondholders at maturity is recorded in an account called bonds payable. Open or update this account to record bond entries. (C). The issuer should then give out accounting statements to any creditors who will need to pay. If they cannot, they may require liens. (D). The process itself may include adding and subtracting what is put into the account itself. You'll need to calculate your loan from the interest rate that the issuer calculated by making your accounting statement.
The answer is:
(B).