If Bonds Are Issued Initially at a Discount and the Straight-Line

Multiple Choice

If bonds are issued initially at a discount and the straight-line method of amortization is used for the discount, interest expense in the early years will be:

A) less than if the interest method is used.
B) The same as if the interest method is used.
C) more than if the interest method is used.
D) less than the amount of the interest payments.