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Describe the three types of inventories that are carried by manufacturers..
Bond Indenture
A legal contract between a bond issuer and a bondholder that specifies the terms of the bond, such as the interest rate, maturity date, and payment schedule.
Discount Amortization
The process of systematically reducing the discount on bonds payable over the life of the bonds, thereby increasing the carrying amount of the bonds.
Semiannual Interest
Interest that is calculated and paid twice a year, often used in the context of bonds and loans.
Straight-Line Method
A depreciation method that allocates an equal amount of depreciation expense for an asset over its useful life.
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