Situated in the County of Klamath, the city of Bonanza has a total area of about 2.2 sq. kms. The beautiful Klamath water fall is located near the city and is a major tourist attaction in the area.
Agriculture is one of the pincipal economic activities of the region. There are large areas under the cultivation of medicated Alfalfa grass. It is a principal fodder for the cattles. The springs have led to a phenomenon of groundwater contamination, which has affected major aspects of natural life cycle like the underwater life cycle, farming and everyday usage of water. Apart from agriculture, diary and poultry based farm activities are also quite popular in the area.