Which of the Following Is Not True Regarding Serial Bonds

question 81

Multiple Choice

Which of the following is not true regarding serial bonds?

• A) Serial bonds come due in installments.
• B) Serial bonds are amortized using the effective interest method only.
• C) Serial bonds are amortized using the bonds outstanding method and the effective interest method.
• D) Serial bonds may sell at a discount or premium.

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Definitions:

Cheat

To act dishonestly or unfairly in order to gain an advantage.

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Payoff Table

A decision analysis tool that summarizes the outcomes of different decisions in various states of nature, typically showing the payoff or loss for each combination of decision and state.