q10. How would the carrying amount of the bonds be affected by the amortization of discount and premium, respectively? A. No effect; No effect B. Increase; No effect C. Increase; Decrease D. Decrease; Increase

q10. How would the carrying amount of the bonds be affected by the amortization of discount and premium, respectively? A. No effect; No effect B. Increase; No effect C. Increase; Decrease D. Decrease; Increase

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 11MC: When a bond sells at a discount, the carrying value ________ after each amortization entry. A....

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Question

q10.

How would the carrying amount of the bonds be affected by the amortization of discount and
premium, respectively?
A. No effect; No effect
B. Increase; No effect
C. Increase; Decrease
D. Decrease; Increase

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