36. If bonds are issued initially at a premium and the effective-interest method of amortization is used, interest expense in the earlier years will be A) greater than if the straight-line method were used. B) greater than the amount of the interest payments. C) the same as if the straight-line method were used. D) less than if the straight-line method were used. 37. Stockholders' equity is generally classified into two major categories: A) contributed capital and appropriated capital. B) appropriated capital and retained earnings C) retained earnings and unappropriated capital. D) earned capital and contributed capital. 38. Under the effective-interest method of bond discount or premium amortization, the periodic interest expense is equal to the stated (nominal) rate of interest multiplied by the face A) value of the bonds. to s8 the market rate of interest multiplied by the face value of B) the bonds. C) the stated rate multiplied by the beginning-of-period carrying amount of the bonds. D) the market rate multiplied by the beginning-of-period carrying amount of the bonds