On January 1, 2015, Jon Sports has a bond payable of $200,000. During 2015, it pays off $20,000 of the outstanding bond principal and issues a new...

On January 1, 2015, Jon Sports has a bond payable of $200,000. During 2015, it pays off $20,000 of the outstanding bond principal and issues a new $70,000 bond. There are no other transactions related to the bond payable account.

What is Jon Sports' December 31, 2015, bond payable balance?

• A debit balance of $250,000

• A credit balance of $150,000

• A debit balance of $150,000

• A credit balance of $250,000