212

question 308

Multiple Choice

212. If bonds have been issued at a discount, over the life of the bonds, the

• A) carrying value of the bonds will decrease.
• B) carrying value of the bonds will increase.
• C) interest expense will increase, if the discount is being amortized on a straight-line basis.
• D) unamortized discount will increase.

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Definitions:

Missing Furnishings

Items of furniture or equipment that are expected to be present in a property or specified setting but are absent.

Written Contract

A formal agreement documented in writing between two or more parties, defining the terms and conditions of their engagement.

Evening Gown

A long flowing women's dress, usually worn to formal events.

Modification

The act of making changes to something, often to improve it or to make it suitable for a different purpose.