With the Effective Interest Method of Amortization, the Amortization of a Bond

question 156

Multiple Choice

With the Effective Interest Method of Amortization, the amortization of a bond premium results in a(n)

• A)increase in liabilities.
• B)decrease of stockholders' equity.
• C)increase in interest expense.
• D)decrease in interest expense.

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Definitions:

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