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Interest Expense Recognized Each Period on Zero-Coupon Bonds Sold at a Discount

Question 65

Multiple Choice

Interest expense recognized each period on zero-coupon bonds sold at a discount is equal to the


A) credit to Cash
B) difference between the cash payment and the discount amortization
C) credit to Discount on Bonds Payable
D) sum of the cash payment and the discount amortization

Correct Answer:

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