If Bonds Are Originally Sold at a Discount Using the Straight-Line

question 140

Multiple Choice

If bonds are originally sold at a discount using the straight-line amortization method:

• A) Interest expense in the earlier years of the bond's life will be less than the interest to be paid.
• B) Interest expense in the earlier years of the bond's life will be the same as interest to be paid.
• C) Unamortized discount is subtracted from the face value of the bond to determine its carrying value.
• D) Unamortized discount is added to the face value of the bond to determine its carrying value.

---

Definitions:

Stratum Corneum

The outermost layer of the epidermis, comprised of dead skin cells that provide a barrier against environmental damage.

Squamous Cells

Squamous cells are flat, thin cells that are part of the lining of many body structures, including the skin, mouth, and airways.

Stratum Basale

The deepest layer of the epidermis, responsible for the generation of new skin cells.

Every Student Succeeds Act

The Every Student Succeeds Act (ESSA) is a US law passed in 2015 that governs the United States K-12 public education policy, aiming to ensure success for all students.