Under the Effective-Interest Method of Amortization,the Amount of Discount Amortized

Multiple Choice

Under the effective-interest method of amortization,the amount of discount amortized each interest period is equal to

A) the amount of interest expense plus the cash paid for interest.
B) the amount of interest expense less the cash paid for interest.
C) the total discount divided by the number of interest payments to be made.
D) the total amount of interest expense divided by the number of interest payments to be made.
E) the amount of the decrease from the cash payment.