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  2. Topic
    Business
  3. Study Set
    Intermediate Accounting Reporting and Analysis
  4. Exam
    Exam 14: Financing Liabilities: Bonds and Notes Payable
  5. Question
    When the Contract Rate of Interest Is Greater Than the Market
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When the Contract Rate of Interest Is Greater Than the Market

Question 67

Question 67

True/False

When the contract rate of interest is greater than the market rate of interest the issuer will record a premium on bonds payable.

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