A Company Prepared the Following Journal Entry: Which of the Following

A company prepared the following journal entry: Which of the following statements is incorrect?
Bonds payable
Premium on bonds payable
Gain on bond retirement
Cash

A) The book value of the bonds was less than the cash payment.
B) The increase in stockholders' equity equals the gain on the bond retirement.
C) The decrease in assets is less than the decrease in liabilities.
D) The net cash flow from financing activities decreases by the cash payment.