Chapter 14, Problem 1DQ

To determine

Concept Introduction:

Notes payable:

Notes payable is a liability which represents the loan taken by the business of the business transactions. A note payable can be issued by a debtor to its creditor for the liability of payments for issuing supplies.

Bonds Payable:

Bonds payable represents the large-scale loan taken by the business for a major capital requirement. Bonds payable are issued to the public for raising the funds.

To Indicate:

The main difference between notes payable and bonds payable