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Ace Machineries has been using batteries supplied by its long-term vendor Thorium Inc.in all its products.Recently, a competitor of Thorium agreed to provide superior quality batteries at the same price.Ace Machineries has decided to change the supplier for batteries from Thorium Inc.to its competitor.The most appropriate way for the supplier relationship manager at Ace Machineries to convey this bad news is to:
Bond's Discount
The difference between the face value of a bond and its selling price when sold for less than its face value.
Amortized
The gradual reduction of a debt over a period of time by making regular payments of interest and principal sufficient to repay the loan by maturity.
Straight-Line Method
Straight-Line Method is a form of calculating depreciation or amortization by evenly spreading the cost of an asset over its useful life.
Amortization of Bonds
The gradual reduction of the discount on bonds payable or the premium on bonds receivable over the life of the bonds.
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