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A company issues $ 9 0 , 0 0 0 of 5 % , 5 - year bonds dated January 1 that pay interest semiannually
A company issues $ of year bonds dated January that pay interest semiannually on June and December each year. If the issuer accepts
$ for the bonds, the $ premium on bonds payable will
total interest expense recognized over the life of the bond.
increase
not affect
decrease
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