1. Long-Term Bonds FLASHCARDS

2. Bond sinking fund investment A fund established to accumulate assets to pay off bonds when they mature Bond sinking fund investment

3. Bonds payable Long-term debt instruments that are written promises to repay the principal at a future date; interest is due at a fixed rate payable over the life of the bond Bonds payable

4. Call price The amount the corporation must pay for the bond when it is called Call price

5. Mortgage loan A long-term debt created when a note is given as part of the purchase price for land or buildings Mortgage loan

6. Straight-line amortization Amortizing the premium or discount on bonds payable in equal amounts each month over the life of the bond Straight-line amortization

7. For additional reinforcement of accounting terms, visit the crossword puzzle on this Web site.